USD/CAD to extend its uptrend once a break above 1.3780 materializes – SocGen

Economists at Société Générale analyze USD/CAD technical outlook ahead of the Bank of Canada (BoC) Monetary Policy Report. 

1.3570/1.3530 is an important support zone

We expect rates to remain at 5%. The guidance of the BoC statement is likely to stay hawkish.

Once a break above the high formed earlier this month at 1.3780 materializes, the pair is expected to extend its uptrend towards 1.3860 and perhaps even towards the 2022 high of 1.3980. 

Recent trough near 1.3570/1.3530 is an important support zone.