USD/CAD set to drop towards the 1.2650 zone – Scotiabank

The USD/CAD is marginally lower on the session. According to economists at Scotiabank, a push under 1.2720 targets mid-1.26s.

Short-term price action is turning a little more CAD-positive

“The USD closed well off the intraday peak yesterday and the low close plus spot’s move under 1.2720 support has triggered a minor Head & Shoulders top on the intraday chart which points to USD losses extending to 1.2650/60 in the next 1-2 days.”

“We look for resistance intraday at 1.2720/30.”