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3 Jun 2014
USD/CAD survives above 1.0900
FXStreet (Edinburgh) - The greenback is trading on a softer tone on Tuesday, lifting the USD/CAD to the upper end of today’s range around 1.0910/15.
USD/CAD focus on US docket, BoC
The pair is posting fresh weekly highs near 1.0920 and extending the recent advance for the fourth consecutive session so far, as traders wait for today’s US Factory Orders and the critical BoC meeting due tomorrow. “A largely unchanged statement may disappoint those expecting a more overt hawkish shift by the BoC in light of generally more positive economic indicators and headline inflation at 2.0%. While that may result in some modest CAD weakness through the rate decision, we are fairly neutral on the CAD at current levels… we are wary of chasing CAD gains from current levels and we maintain a solidly bullish medium-term USD/CAD outlook”, argued Brian Daingerfield, FX Strategist at RBS.
USD/CAD significant levels
The pair is now up 0.17% at 1.0918 with the next resistance at 1.0942 (high May 21) ahead of 1.0962 (61.8% of 1.1053-1.0814) and finally 1.1001 (21-w MA). On the flip side, a breakdown of 1.0814 (low May 8) would target 1.0762 (low Jan.8) en route to 1.0737 (high Dec.20).
USD/CAD focus on US docket, BoC
The pair is posting fresh weekly highs near 1.0920 and extending the recent advance for the fourth consecutive session so far, as traders wait for today’s US Factory Orders and the critical BoC meeting due tomorrow. “A largely unchanged statement may disappoint those expecting a more overt hawkish shift by the BoC in light of generally more positive economic indicators and headline inflation at 2.0%. While that may result in some modest CAD weakness through the rate decision, we are fairly neutral on the CAD at current levels… we are wary of chasing CAD gains from current levels and we maintain a solidly bullish medium-term USD/CAD outlook”, argued Brian Daingerfield, FX Strategist at RBS.
USD/CAD significant levels
The pair is now up 0.17% at 1.0918 with the next resistance at 1.0942 (high May 21) ahead of 1.0962 (61.8% of 1.1053-1.0814) and finally 1.1001 (21-w MA). On the flip side, a breakdown of 1.0814 (low May 8) would target 1.0762 (low Jan.8) en route to 1.0737 (high Dec.20).