CAD: Technical indicators are not generating strong signals - BBH

Analysts at BBH note that the Canadian dollar rose on the back of another month of solid job creation, which helped it resist US dollar strength ahead of the weekend.  

Key Quotes

“The Bank of Canada meets next week, and although economic data have generally been firm, policy is on hold.  The FOMC minutes were somewhat hawkish, and Fed funds futures are gradually upgrading the odds of a June hike.  Bloomberg's calculation puts the odds at 55.6%, up five percentage points on the week, while the CME's interpolation puts the odds a little above 59%.”

“The technical indicators are not generating strong signals, though the Slow Stochastics is still trending lower.  The CAD1.3325-CAD1.3345 support area held after the employment report.  A break could see CAD1.3200-CAD1.3250.  On the upside, a move above CAD1.3450 would target the year's high near CAD1.3535.”