Back
24 Feb 2015
USD/CAD: high volatility expected ahead of Yellen and Poloz’s speech – Scotiabank
FXStreet (Barcelona) - Camilla Sutton CFA, CMT, Chief FX Strategist at Scotiabank, notes that USD/CAD might see a lot of volatility due to Yellen and Poloz’s speech ahead, with the pair expected to shift higher on a fundamental view.
Key Quotes
“CAD is weak, down 0.5% since yesterday’s close and falling to a two week low. In USDCAD terms, the one month range of 1.2314 to 1.2799 remains intact; however we expect a near‐term test of the upper end and an eventual shift towards 1.30.”
“Today the combination of Chair Yellen at 10am EST and Governor Poloz’s speech could provide lots of volatility in USDCAD.”
“USDCAD short‐term technicals: mixed—fundamentally we expect USDCAD to shift higher; however technicals are not confirming the shift.”
“The MACD remains in sell territory, candlesticks warn of bearish forces (unless spot closes above the February 12th open of 1.2632) and moving averages have yet to cross.”
“Accordingly the establishment of a long USDCAD trade likely needs near‐term patience.”
Key Quotes
“CAD is weak, down 0.5% since yesterday’s close and falling to a two week low. In USDCAD terms, the one month range of 1.2314 to 1.2799 remains intact; however we expect a near‐term test of the upper end and an eventual shift towards 1.30.”
“Today the combination of Chair Yellen at 10am EST and Governor Poloz’s speech could provide lots of volatility in USDCAD.”
“USDCAD short‐term technicals: mixed—fundamentally we expect USDCAD to shift higher; however technicals are not confirming the shift.”
“The MACD remains in sell territory, candlesticks warn of bearish forces (unless spot closes above the February 12th open of 1.2632) and moving averages have yet to cross.”
“Accordingly the establishment of a long USDCAD trade likely needs near‐term patience.”