USDCAD Movement
For the 24 hours to 23:00 GMT, USD declined 0.80% against the CAD to close at 0.9686, supported by economic data from the US and China.
In the US, the producer price index, on monthly basis rose by 0.2% in May from 0.8% rise in the previous month. Additionally, the business inventories, on a monthly basis, rose 0.8% in April, following an upwardly revised 1.3% increase recorded in March.
In Canada, the capacity utilization, on quarterly basis, rose by 79.0% in the first quarter of 2011 from 76.8% in the fourth quarter of 2010. Meanwhile, the new motor vehicle sales declined by 1.1% (M-o-M) in April, following 2.0% growth in March.
In the Asian session at 3:00GMT, the pair is trading at 0.9688, 0.02% higher from yesterday’s close at 23:00 GMT.
The first area of short term resistance is observed at 0.9742, followed by 0.9795 and 0.9886. The first area of support is at 0.9651, with the subsequent supports at 0.9613 and 0.9522.
Trading trends in the pair today are expected to be determined by data release on manufacturing shipments in Canada.
The currency pair is trading below its 20 Hr and its 50 Hr moving averages.
