USDCAD Movement
For the 24 hours to 23:00 GMT, the USD ended mostly flat against the CAD to close at 1.0502, as tensions over Fed’s stimulus measures continued to weigh on the demand of the Loonie.
On Friday, Bank of Canada reported that the nation’s consumer price index edged up 1.3% (YoY) in July, defying market expectation for a rise of 1.4% and following a 1.2% growth seen in the previous month. Meanwhile, Bank of Canada’s core consumer price index inched up 1.4% (YoY) in July, at par with market expectations and compared to a 1.3% rise registered in the earlier month.
In the Asian session, at GMT0300, the pair is trading at 1.0515, with the USD trading 0.12% higher from yesterday’s close.
The pair is expected to find support at 1.0495, and a fall through could take it to the next support level of 1.0475. The pair is expected to find its first resistance at 1.0535, and a rise through could take it to the next resistance level of 1.0555.
Investors await the release of consumer confidence data from the US, Canada’s largest trading partner for further direction.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
