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11 Sep 2013
USD/CAD oversold?
FXstreet.com (London) - USD/CAD has been a bumpy drift along to lower lows within the 1.0400/1.0320 range.
Research teams at TD Securities noted that the USD/CAD is retesting yesterday’s lows. “The soft undertone evident over the past week persists. Oil prices have improved a little in the overnight session after yesterday’s sell off but remain close to 5% off of the recent peaks. Commodity prices fell broadly yesterday and that may slow the CAD rise to some extent”.
USD/CAD is stabilising
“USD/CAD sell-off stabilises, looking oversold in the short-term, at least”, said research teams at TD Securities. They continued to say, “USD/CAD’s sell-off from 1.05+ levels appears to be stabilising as short-term oscillator studies (hourly) look oversold and somewhat divergent (upward track in the slow stochastic study since Monday overall versus the downward track in spot). These are short-term pointers to a potential base forming and we need confirming price moves (above 1.0365) to lift spot back to near 1.04 at most for the moment. Key short-term support is 1.0330/35; below here and the current consolidation turns into nothing more than a pause in the trend ahead of renewed weakness”.
Research teams at TD Securities noted that the USD/CAD is retesting yesterday’s lows. “The soft undertone evident over the past week persists. Oil prices have improved a little in the overnight session after yesterday’s sell off but remain close to 5% off of the recent peaks. Commodity prices fell broadly yesterday and that may slow the CAD rise to some extent”.
USD/CAD is stabilising
“USD/CAD sell-off stabilises, looking oversold in the short-term, at least”, said research teams at TD Securities. They continued to say, “USD/CAD’s sell-off from 1.05+ levels appears to be stabilising as short-term oscillator studies (hourly) look oversold and somewhat divergent (upward track in the slow stochastic study since Monday overall versus the downward track in spot). These are short-term pointers to a potential base forming and we need confirming price moves (above 1.0365) to lift spot back to near 1.04 at most for the moment. Key short-term support is 1.0330/35; below here and the current consolidation turns into nothing more than a pause in the trend ahead of renewed weakness”.