USDCAD Movement
For the 24 hours to 23:00 GMT, USD rose 0.91% against the CAD to close at 1.0287, amid risk aversion among investors following weak economic data from the US, Europe and China.
The Loonie came under further pressure, as retail sales in Canada unexpectedly fell by 0.5% (MoM) in April, following 0.4% growth in March. The market has expected a rise of 0.2%.
Meanwhile, the Bank of Canada (BoC) Governor, Mark Carney, stated that if the current economic expansion in the nation continues, “some modest withdrawal” of monetary stimulus like interest rate hikes might become appropriate.
In the Asian session, at GMT0300, the pair is trading at 1.0276, with the USD trading 0.11% lower from yesterday’s close.
The pair is expected to find support at 1.0202, and a fall through could take it to the next support level of 1.0128. The pair is expected to find its first resistance at 1.0324, and a rise through could take it to the next resistance level of 1.0373.
Trading trends in the pair today are expected to be determined by the release of consumer price index data in Canada.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
