USD/CAD: At risk of more losses in the weeks ahead – Scotiabank

USD/CAD holds little changed. Economists at Scotiabank analyze the pair’s outlook.

Charts pressure USD support in high 1.36s

The CAD is flat-lining on the charts. Short and medium-term directional signals are neutral and trend momentum is extremely weak. But the USD is putting incremental pressure on short-term support (off the October/November lows at 1.3673) and is close to testing major trend support off the July low at 1.3660. 

The bearish weekly reversal signal from the start of the month continues to point to risk of more USD losses in the weeks ahead. 

Resistance remains 1.3770/1.3775.