USDCAD Movement
For the 24 hours to 23:00 GMT, the USD rose 0.08% against the CAD to close at 1.0321, as investors’ appetite for risk taking reduced ahead of Fed’s policy decision, due on Wednesday.
Meanwhile, in Canada, a report revealed that the nation’s portfolio investment in foreign securities declined to a level of $0.95 billion in July, compared to a level of $3.66 billion registered in the previous month. However, foreign portfolio investment in Canadian securities surged to a reading of $6.09 billion in July, following a negative reading of $15.43 billion seen in the earlier month. In a separate report, the Canadian Real Estate Association (CREA) reported that existing home sales in Canada rose 2.8% (MoM) in August, faster compared to a 0.2% rise reported in the previous month. Moreover, the agency indicated that the housing market in Canada has been showing signs of improvement in recent months and this trend is expected to continue throughout this year.
In the Asian session, at GMT0300, the pair is trading at 1.0325, with the USD trading marginally higher from yesterday’s close.
The pair is expected to find support at 1.0291, and a fall through could take it to the next support level of 1.0258. The pair is expected to find its first resistance at 1.0347, and a rise through could take it to the next resistance level of 1.0370.
Investors await the release of manufacturing shipment data from Canada, slated later today, for further guidance.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
