TD Research discusses CAD outlook and thinks that a temporary spike in oil prices towards $80/bbl is worth a big figure or two in USD/CAD.
For the next few sessions, we look towards the 50dma near the figure for support.
Next week's GDP will be critical to watch to determine whether we can break through 1.30 so some consolidation is in order before the break comes. Still, the CAD probably has some room to outperform on some of the crosses, as CAD's beta to the USD looks lower than some of the other well-populated longs like EUR, JPY, and GBP," TD argues
We prefer to sell CADJPY rallies towards 86 and buy into EURCAD dips near 1.53," TD advises.