USD/CAD: "buy on dips" trade
USD/CAD dropped by more than 100 pips from a 10-month high of 1.0395 to 1.0285, but later recovered to 1.0300. The technical picture still remains bullish, however: the pair stays in a clear rising channel since the beginning of May.
TD Securities recommend buying the pair on dips around 1.0300. In their view, USD/CAD is now basing before resuming growth and touching fresh highs. UBS agrees: their next targets lie at 1.0450 and 1.0525.
Chart. H1 USD/CAD