4 Aug 2015
USD/CAD: further strength could see 1.40 tested – Westpac
FXStreet (Edinburgh) - According to Strategists at Westpac, the pair could be headed towards the critical 1.40 handle in the upcoming months.
Key Quotes
“USD/CAD dipped below the important 1.30 psychological level though has subsequently bounced to fresh highs back to 2004”.
“Despite the negative GDP print on Friday, markets have only increased pricing for one more BoC cut to 50% by the end of the year”.
“Fresh weakness in crude oil also keeps pressure on CAD. We maintain our 1.35 target in the coming months”.
“Medium term/long term momentum / trend structure remains highly positive. July produced new 10 year highs, confirming a bullish multi-month outlook with targets towards 1.40”.
Key Quotes
“USD/CAD dipped below the important 1.30 psychological level though has subsequently bounced to fresh highs back to 2004”.
“Despite the negative GDP print on Friday, markets have only increased pricing for one more BoC cut to 50% by the end of the year”.
“Fresh weakness in crude oil also keeps pressure on CAD. We maintain our 1.35 target in the coming months”.
“Medium term/long term momentum / trend structure remains highly positive. July produced new 10 year highs, confirming a bullish multi-month outlook with targets towards 1.40”.