USD/CAD again rejected gains beyond the 1.3450 area for the third time this week. Economists at Scotiabank believe that there is limited scope for declines, though.

Underlying trend oscillators remain bullishly aligned for USD

“Spot’s turn lower suggests a minor peak may have formed, putting the USD on course for a push lower. But USD losses so far are not especially powerful and the underlying trend oscillators remain bullishly aligned for the USD, suggesting limited scope for declines at the moment.”

“Look for firm support on dips to the low/mid 1.33s.”