USD/CAD: Beyond 1.3770, next objectives are located at 1.3860 and 2022 high of 1.3980 – SocGen

USD/CAD has rallied on the back of USD strength and the spike in US treasury yields. Economists at Société Générale analyze the pair’s outlook.

Prevalence of upward momentum

Daily MACD remains anchored within positive territory denoting prevalence of upward momentum.

Defence of the 50-DMA near 1.3510 could lead to persistence in up move. 

The pair has faced interim hurdle at 1.3770, the 76.4% retracement from 2022. Beyond 1.3770, next potential objectives are located at 1.3860 and 2022 high of 1.3980.

See: USD/CAD to slip a little more obviously on losses through 1.3695 – Scotiabank