USDCAD Movement
For the 24 hours to 23:00 GMT, the USD declined 0.35% against the CAD to close at 1.0499 as risk-appetite among investors increased after the Bank of Canada (BoC) Governor, Stephen Poloz, assured that the Central Bank’s monetary policy stimulus remains appropriate so long as inflation is muted.
In Canada, the BoC, in its policy meeting, kept its benchmark interest rate unchanged at 1%, at par with market expectations. Meanwhile, an official data revealed that deficit in the nation’s international merchandise trade rose to a reading of $0.93 billion, defying analysts’ estimate for a decline to $0.40 billion, and compared to a deficit of $0.46 billion registered in the previous month.
In the Asian session, at GMT0300, the pair is trading at 1.0484, with the USD trading 0.14% lower from yesterday’s close.
The pair is expected to find support at 1.0457, and a fall through could take it to the next support level of 1.0431. The pair is expected to find its first resistance at 1.0527, and a rise through could take it to the next resistance level of 1.0571.
With no major economic releases from Canada, traders are expected to keep an eye on global economic news for further guidance.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
