FXStreet reports that USD/CAD has topped 1.27 and economists at Credit Suisse look for strength back to the 1.2807 July high.

“USD/CAD maintains its impulsive move higher after the break above its 200-day average and importantly its 1.2608 recent high to mark the completion of a near-term base. With the market also maintaining a much larger multi-month base this should confirm that the uptrend is resuming.”

“We stay biased higher for a retest of the 1.2807 high. Beyond this latter level can reinforce a basing story with resistance seen next at the highs for the year at 1.2870/81. The ‘measured base objective’ still projects a move to 1.3024, also the 38.2% retracement of the 2020/2021 collapse where we would look for a firmer ceiling.”