CAD remains under pressure on the major crosses – RBC CM

Sue Trinh, Senior Currency Strategist at RBC Capital Markets, notes that the USD/CAD continues to trade with a short-term bid tone as CAD remains under pressure on the major crosses.

Key Quotes

“Of note, a close above resistance at 1.4734 would favour additional gains toward the May high at 1.4825 in EUR/CAD, while a close above 1.7477 would target 1.7614 as a basing pattern attempts to play out in GBP/CAD. CAD/JPY is also probing support at 78.00, with a close below here resulting in a bearish trend reversal that would expose 77.34 and 76.77 next on the downside. We stress that a double top at 1.3219 remains a key resistance barrier that will have to be exceeded in USD/CAD in order to resolve a consolidation phase to the topside. There are no data releases scheduled today, leaving interest rate expectations, broader USD moves, and oil as focal points for price direction in CAD.”