USDCAD Movement
For the 24 hours to 23:00 GMT, USD rose 0.30% against the CAD to close at 0.9797, amid concerns about the slowing US economy and weakened oil prices.
In the US, the Federal Reserve Bank of Philadelphia President, Charles Plosser, stated that a plan to withdraw the US Federal Reserve’s asset purchase program and ‘normalize’ interest-rate policy would help prevent confusion in financial markets.
In Canada, the Ivey purchasing managers index rose to 69.1 in May, from 57.7 in April. Additionally, the building permits declined by 21.1% in April to C$5.3 billion, following 16.8% rise in March.
In the Asian session at 3:00GMT, the pair is trading at 0.9800, 0.03% higher from yesterday’s close at 23:00 GMT.
The first area of short term resistance is observed at 0.9821, followed by 0.9842 and 0.9887. The first area of support is at 0.9776, with the subsequent supports at 0.9752 and 0.9707.
The currency pair is showing convergence with its 20 Hr and its 50 Hr moving averages.
