USDCAD rally has stalled near 1.3280 – RBC CM

Adam Cole, Research Analyst at RBC Capital Markets, suggests that the rally in USD/CAD has stalled near 1.3280 after the pair took out a key triple top at 1.3219.

Key Quotes

“CAD/MXN remains under pressure though, as a bearish key reversal day in USD/MXN has spurred broader MXN gains. The cross features initial support at 14.6417, with a close below here targeting 14.3940.

There are no data releases in Canada today, though the outcome of the OPEC meeting in Algiers may trigger some volatility. Our commodity strategists expect the cartel to opt for a pragmatic approach that results in a moderately constructive framework, which could leave the door open for some sort of action at the November OPEC gathering. Initial resistance is located at 1.3281 and 1.3312, followed by the 1.3402/46 region. Support is located at 1.3160 and 1.3118.”