Still room for further decline in USD/CAD – Westpac

Richard Franulovich, Strategist at Westpac, sees there is still further downside in the pipeline for the pair.

Key Quotes

“USD/CAD’s fall has further to run”.

“The Fed, the ECB and the BoJ have signalled an implicit preparedness to underwrite risk assets”.

“Meanwhile, China is unlikely to be a source of market shocks in coming weeks either thanks to the Lunar New Year and with China hosting the G20 26/27 Feb”.

“USD/CAD could easily slip to 1.35/1.36 and it still wouldn’t upset the longer term uptrend. 1.50 still the longer term target for 2016”.