USD/CAD to decline toward the 1.25 area on a push back below 1.2585 – Scotiabank

USD/CAD is back to the high 1.25s. Economists at Scotiabank expect the pair to fall towards the 1.25 region again on a break under the 1.2585 mark.

Resistance aligns at 1.2630

“Intraday price action rather suggests a stall in the USD move higher, rather than an outright reversal at this point; we see intraday support at 1.2585 and resistance at 1.2630 for early trading.”

“A push back below 1.2585 should see the USD slip back to the low 1.25s again.” 

“We continue to anticipate a drop in the USD to the Apr low around 1.24 following last week’s loss of retracement support at 1.2565.”