May 3, 2013
Forex Flash: USD/CAD to get squeezed back up to upper 1.02s near-term – TD Securities
FXstreet.com (Barcelona) - Having pushed a little higher from the mid-week low around 1.0050 and picked up more ground late yesterday above key short-term resistance at 1.0100, TD Securities analysts believe the 1.0080/90 area should remain good support for the market in the near-term, while weakness below here would suggest the short-term potential at least for further losses. “We rather prefer to see downside potential from here as limited due to the broader (daily, see below) patterns looking more constructive. Intraday, we see support at 1.0080/90 and 1.0050. Resistance is 1.0140/50”, wrote analysts Shaun Osborne and Greg Moore, adding that pattern-wise, the daily USD/CAD picture looks positive. “Tentative channel support seems to have held the market and the daily candlestick pattern is bullish (“morning star”), notwithstanding the modest push back against the rebound seen so far today”, they said, pointing to key support on a daily basis at 1.0050/60 and a modest squeeze back up to upper 1.02s near-term.