FXStreet reports that analysts at Scotiabank note that USD/CAD was halted by the 200-day moving average (DMA) at 1.2479 last week, which is a sign of CAD strength but a minor bounce in the next few weeks is on the cards.
“The overall technical tone remains consolidative and it is impossible to exclude the risk of USD/CAD creeping a little higher still in the next few weeks. But rejection of the 200-DMA is an important sign of resilience in the CAD, we think.”
“USD support is 1.2415 and 1.2385.”
“Resistance is 1.2525/30.”