USD/CAD: Loonie has a lot of work to do to improve – Scotiabank

The CAD is extending its late-week rebound against the USD. Economists at Scotiabank analyze USD/CAD outlook.

USD/CAD support extends to 1.3560/70

The USD does look overbought from a long run point of view which should curb topside movement in funds generally but the CAD has a lot of work to do to improve.

A net lower close on the week for the USD would be a broadly positive signal for the CAD but there’s a long way to go yet.

USD/CAD support extends to 1.3560/1.3570 on the downside.

Resistance is 1.3700/1.3710.