USD/CAD still a sell on rallies to 1.3300 – Westpac

Strategist at Westpac Richard Franulovich noted the upcoming events in the pair, while he also recommended selling occasional up ticks towards the 1.3300 area.

Key Quotes

“March monthly and Q1 GDP the main releases of note. Q1 data will carry less weight than usual with interest shifting to a possible negative Q2 GDP owing to energy output disruptions as a result of the raging wildfires”.

“Use strength into 1.33 as an opportunity to sell USD/ CAD. Resilient oil prices fairly value USD/CAD nearer 1.25”.

“The less adventurous may went to sell AUD/CAD instead, the substantial outperformance in oil prices against iron ore raising risks of a break below 0.90 in this cross”.