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21 Feb 2014
Flash: Buy USDCAD for a target of 1.16 - TDS
FXStreet (Bali) - According to Shaun Osborne, Chief FX Strategist at TD Securities, the USD/CAD is ready to resume its uptrend.
Key Quotes
"We think technical signals are pointing to a rapid resumption of the broader USDCAD bull trend. Fundamentally, the Canadian data run is likely to come in soft ahead of the BoC policy meeting in early March, weighing on the CAD."
"Having just missed out on scooping the USD at 1.0900, we are now looking at getting long USDCAD again at similar levels to where our initial dip-buying exercise failed earlier last month."
"That is a tough decision from a psychological point of view but we think risk/reward considerations clearly favour USDCAD longs now. Buy USDCAD at 1.1106, risk 1.0950. Target 1.16."
Key Quotes
"We think technical signals are pointing to a rapid resumption of the broader USDCAD bull trend. Fundamentally, the Canadian data run is likely to come in soft ahead of the BoC policy meeting in early March, weighing on the CAD."
"Having just missed out on scooping the USD at 1.0900, we are now looking at getting long USDCAD again at similar levels to where our initial dip-buying exercise failed earlier last month."
"That is a tough decision from a psychological point of view but we think risk/reward considerations clearly favour USDCAD longs now. Buy USDCAD at 1.1106, risk 1.0950. Target 1.16."