HSBC on the Canadian Dollar

The Canadian currency has continued correction from session highs paired with yen and is currently trading around Y83.23, while HSBC currency strategists note that a more active attempt to reduce the pair are possible. The bank encouraged to draw attention to the fact that today the bulls tested, but not stayed 200-day moving average, but, nevertheless, to recommend HSBC to follow up on the auction today, noting that the closure of the above-mentioned resistance will be positive signal to the Canadian currency. They expect that, in the case of such scenarios can be expected to further enhance the model and CTA accounts for part of the buyer and continue the growth of the Canadian dollar to Y85.25 and Y87.50.