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16 Apr 2014
USD/CAD wobbles around 1.1000
FXStreet (Edinburgh) - Today’s upside in the USD/CAD seems to have found strong resistance in the area of 1.1000 the figure, ahead of the key BoC gathering.
USD/CAD focus on the BoC
The pair remains in a flat-line around the psychological 1.10 mark this week, interrupting the recovery from last week’s multi-week lows in the mid-1.0800s, as market participants wait for the BoC monetary policy meeting due later. “While the BoC may not extend the dovish lilt to its commentary any further today there are no grounds to expect a significantly more constructive view of the overall outlook… Technically, we think USDCAD is trying to build a medium-term base which foreshadows a resumption of the broader bull trend; a positive close to this week will add to that impression”, commented Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD levels to consider
At the moment the pair is up 0.09% at 1.0988 with the next resistance at 1.1019 (38.2% of 1.1279-1.0858) followed by 1.1056 (daily cloud top) and then 1.1061 (30-d MA). On the flip side, a breakdown of 1.0919 (low Apr.11) would expose 1.0907 (daily cloud base) and finally 1.0868 (low Apr.10).
USD/CAD focus on the BoC
The pair remains in a flat-line around the psychological 1.10 mark this week, interrupting the recovery from last week’s multi-week lows in the mid-1.0800s, as market participants wait for the BoC monetary policy meeting due later. “While the BoC may not extend the dovish lilt to its commentary any further today there are no grounds to expect a significantly more constructive view of the overall outlook… Technically, we think USDCAD is trying to build a medium-term base which foreshadows a resumption of the broader bull trend; a positive close to this week will add to that impression”, commented Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD levels to consider
At the moment the pair is up 0.09% at 1.0988 with the next resistance at 1.1019 (38.2% of 1.1279-1.0858) followed by 1.1056 (daily cloud top) and then 1.1061 (30-d MA). On the flip side, a breakdown of 1.0919 (low Apr.11) would expose 1.0907 (daily cloud base) and finally 1.0868 (low Apr.10).