CAD: Structurally biased toward lower levels - Westpac

Research Team at Westpac, suggests that they are still structurally biased toward lower USD/CAD levels.

Key Quotes

“H2 growth looking decent enough as activity bounces back from the Fort McMurray wildfire disruptions and as the Trudeau fiscal stimulus kicks into gear in Q4. Oil prices meanwhile looking more and more resilient with each passing day. USD/CAD more likely to test 1.25 than 1.35 in Summer.

Technical: USD/CAD looks like it will continue in its recent range, momentum and trend indicators pointing sideways.”