USDCAD Movement
For the 24 hours to 23:00 GMT, the USD rose 0.44% against the CAD to close at 1.0421, on supportive comments by Fed official over early tapering of bond buying program.
The Canadian Dollar came under pressure, following the release of disappointing building permits and Ivey purchasing managers’ index data in Canada.
Building permits fell 10.3% (MoM) in June, following a 5.8% rise in May. Additionally, Ivey purchasing managers’ index fell to a reading of 48.4 in July from a reading of 55.3 in June.
In the Asian session, at GMT0300, the pair is trading at 1.0424, with the USD trading marginally higher from yesterday’s close.
The pair is expected to find support at 1.0386, and a fall through could take it to the next support level of 1.0347. The pair is expected to find its first resistance at 1.0455, and a rise through could take it to the next resistance level of 1.0485.
Movements in USDCAD would be driven by Canada’s new housing price index as well as US initial jobless claims figures to be released today.
The currency pair is showing convergence with its 20 Hr moving average and is trading above 50 Hr moving average.
