CAD enters Tuesday's na session unchanged compared to USD, which is closely linked to the trendy channel of the Bullish (USD/CAD Bears) from mid -April, notes Shaun Osborne, the main FX strategist.
CAD consolidates before Trump/Carney meet
“The focus is on international relations and the first meeting between the newly elected Prime Minister Carney and President Trump. The risk balance is likely to be tilted under the negative side, taking into account the recent power and potential for CAD after an impressive CAD rally driven by the hopes of reconciliation.”
“The Canadian deficit is expected to have expanded modestly. The USD/CAD FV estimate is permanently just under 1.3900, which is slightly higher than the current level, which refers to some CAD strengths compared to our fundamentals.
“The recent trend of USD/CAD is gently bearing. The pace of decline has been such that it marks the slowing of the momentum and therefore provides a positive difference as RS is unable to confirm the fresh lowest.
