USDCAD Movement
For the 24 hours to 23:00 GMT, the USD rose 0.10% against the CAD to close at 0.9930. The Canadian dollar weakened against the US dollar as current account deficit in Canada widened to C$18.91 billion in the Q3 FY2012, from a revised deficit of C$18.38 billion recorded in the previous quarter. Market had expected the current account deficit to widen to C$19.20 billion in 3Q FY2012. Moreover, the industrial product price index fell 0.1% in October, following a 0.5% increase recorded in the previous month. Market had expected the index to remain flat in October. On a yearly basis, IPPI fell 0.2% in October, marking its third consecutive year-over-year decline and following a 0.3% fall recorded in the previous month.
In the Asian session, at GMT0400, the pair is trading at 0.9930, with the USD trading marginally lower from yesterday’s close.
The pair is expected to find support at 0.9915, and a fall through could take it to the next support level of 0.9900. The pair is expected to find its first resistance at 0.9942, and a rise through could take it to the next resistance level of 0.9954.
Trading trends in the pair today are expected to be determined by the release of the GDP data in Canada.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
