Canadian Dollar Flat Against USD, 1.3970 Hurdle in Focus
Scotiabank strategists note CAD is little changed against the greenback, modestly outperforming other majors and trading close to fair value. A move past 1.3970 is needed for further upside.
The Canadian dollar is effectively unchanged versus the US dollar, though it is modestly outperforming other major currencies, according to Scotiabank strategists Shaun Osborne and Eric Theoret. The pair is trading near their fair value estimate, with the loonie’s near-term trajectory likely gated by the 1.3970 level.
USD/CAD remains range-bound, with the loonie needing a break below that threshold to extend gains. On the other hand, a failure to clear 1.3970 would keep the pair in its recent range.
The loonie is currently little changed on the day, leaving short-term direction dependent on whether selling pressure can push the exchange rate through the noted level.
Source: FXStreet Forex News