USD/CAD: Test of 1.28 to signal a clearer worsening of technical picture – Scotiabank

USD/CAD is trading in the mid-1.28s, its weakest level since last Tuesday. A slump to the 1.28 level would signal a clearer worsening of its technical picture, in the view of economists at Scotiabank.

Resistance aligns at 1.2880/00

“The pair remains relatively far from a test of 1.28 that would signal a clearer worsening of its technical picture.”

“USD support stands at the 50-day MA of 1.2832, Tuesday’s low of 1.2819, and the big figure area.” 

“Resistance is 1.2880/00 followed by ~1.2925 and Friday’s peak of 1.2966.”