USDCAD - Short with Caution

8 Jun 2020

Last week’s signals continued to point lower and these were confirmed as all our downside targets were met with sentiment posting a 4th lower weekly high & low in a row and with losses of almost 4 Big Figs taking prices below their 200 day average rate. With no sign that the deterioration is ending, but with daily sentiment oversold and testing March’s 1.3303 base, the outlook for this week remains just cautiously bearish and the call is to sell only modestly on the open and then at 1.3573, Wednesday’s high with a stop loss at 1.3675, the 13 day average rate. Targets are to 1.3303, March’s low, 1.3201, February’s base and 1.2956, this year’s low trade.