USDCAD Movement
For the 24 hours to 23:00 GMT, the USD rose 0.87% against the CAD to close at 1.0383. The Canadian Dollar gave up ground against the greenback as the Bank of Canada (BoC) changed its stance on the need for a future interest-rate increase that has been in place for more than a year.
The Bank of Canada (BoC), after announcing its decision to keep its interest rate unchanged at previous level of 1.0%, stated that a soft economic growth and persistent weak inflation data mean there is as much chance of a rate cut as a rate hike. Negative sentiment for the Loonie was also fuelled after the central bank slashed its forecast for domestic economic growth, saying the economy won’t recover to full health until the end of 2015.
In the Asian session, at GMT0300, the pair is trading at 1.0377, with the USD trading 0.06% lower from yesterday’s close.
The pair is expected to find support at 1.0305, and a fall through could take it to the next support level of 1.0234. The pair is expected to find its first resistance at 1.0423, and a rise through could take it to the next resistance level of 1.0470.
The currency pair is showing convergence with its 20 Hr moving average and is trading above its 50 Hr moving average.
