USD/CAD: Supports at 1.3340 and 1.3275 look reachable fairly quickly – Scotiabank

USD/CAD losses have extended through the 1.34 level to take the Loonie to its best levels against the USD since August. Economists at Scotiabank analyze the pair’s outlook.

Some consolidation into the weekend

A minor rebound from the intraday low may suggest some consolidation into the weekend but there is no clear sign of a rebound developing on the intraday chart at this point.

USD gains are likely to be very modest, with trend strength oscillators aligned bearishly for the USD on the intraday and daily oscillators.

I look for resistance in the 1.3425/1.3450 range for now. Support is 1.3340 and 1.3275. Both points look reachable fairly quickly.