USD/CAD: Break below 1.2320 to open up the 1.2288 key support – Scotiabank

The CAD has steadied and regained a little ground after closing weakly against the USD on Thursday. Analysts at Scotiabank expect the USD/CAD to test the 1.230 support with a break below here to expose key support at 1.2288.

Resistance seen at 1.2385

“There is a high degree of bearish momentum still evident in the short-term (intraday and daily) DMI oscillators and this is impeding the USD’s recovery potential at the moment.”

“Intraday selling pressure has been fairly steady and may test intraday support at 1.2320. Weakness below here should see another run towards to figure and now key support at 1.2288, yesterday’s low.”

“Resistance is 1.2385.”