Credit Suisse discusses USD/CAD technical outlook and maintains a tactical bearish bias in the near-term.
"The downmove in USDCAD has stalled ahead of the pivotal 2020 low and retracement support at 1.3331/15 as expected, switching into a mild consolidation phase (in line with daily RSI momentum in oversold territory).
With a bear ‘wedge’ continuation pattern still in place and daily MACD momentum also still moving lower, we stay biased to the downside and look for a close below here in due course though, with support seen thereafter at 1.3272, ahead of 1.3233. Big picture, the ‘measured wedge objective’ is seen lower at 1.3206, just shy of a more important support area at 1.3202/3191,"CS notes.
"Resistance is seen initially at 1.3404, ahead of 1.3435/45, which now ideally caps to keep the immediate downside bias intact. Above here though would see resistance next at 1.3486/91 and 1.3519," CS adds.