(Change RIC)

• USD/CAD stabilizes just above a 5-mo. doji low of 1.3829 set on Monday

• Weekly losses slow near cycle highs since Oct. 2022 between 1.3860-1.3976

• Futures positioning hit 6-mo. low on Wed., implying loonie short-covering

• Sharp USD/CAD drop in April comes even as fwd points winden against loonie

• Pair is nearing oversold on RSI, 5-DMA at 1.3872 is near-term resist.

• Risk reversals at a 6-mo. low above par suggests momentum may stall

• Polling, oil more so than data may guide CAD before April 28 election

• Close below 1.38 or 1.4010 200-DMA offers a directional bias
CAD2


CAD

(Robert Fullem is a Reuters market analyst. The views expressed are his own.)