USDCAD Movement
For the 24 hours to 23:00 GMT, the USD rose 0.37% against the CAD to close at 1.0679. The Canadian Dollar gave up ground against the US Dollar as fresh speculation for an interest-rate-cut spurred after the Bank of Canada (BoC) Governor, Stephen Poloz, stated that, “the risks associated with elevated household imbalances have not materially changed, while the downside risks to inflation appear to be greater.” Mr. Poloz speech followed BoC’s decision to maintain its benchmark interest rate unchanged at 1.0%, at its policy meeting.
On the economic front, Canada’s international merchandised trade balance posted a surplus of C$ 0.075 billion in October, defying analysts’ expectations for the deficit to widen from previous month’s level of C$ 0.300 billion to C$ 0.730 billion.
In the Asian session, at GMT0400, the pair is trading at 1.0680, with the USD trading tad higher from yesterday’s close.
The pair is expected to find support at 1.0640, and a fall through could take it to the next support level of 1.0601. The pair is expected to find its first resistance at 1.0714, and a rise through could take it to the next resistance level of 1.0749.
Later today, the Statistics Canada is scheduled to release a report on the nation’s building permits, ahead of the release of Ivey PMI data.
The currency pair is showing convergence with its 20 Hr moving average and is trading above its 50 Hr moving average.
