Fade rallies in USD/CAD – TDS

FXStreet (Edinburgh) - Fade rallies in USD/CAD – TDS

Strategists at TD Securities recommend selling the pair on strength in the near term.

Key Quotes

“Price signals are turning negative on the longer-term charts; Friday’s bearish (outside range) reversal day in USDCAD sets the tone here and the heavy-ish losses registered Monday and (so far) today serve as ’confirming’ price action of the reversal”.

“Note that the until-recently positive trend momentum on the daily chart is close to turning neutral now and this may grease the path for a softer USD in the days ahead. Look to sell rallies for now”.

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