16 Jun 2014
USD/CAD eases from peaks
FXStreet (Edinburgh) - The greenback is now surrendering some ground vs. its neighbour on Monday, dragging the USD/CAD back to 1.0870/65.
USD/CAD focus on US data
The pair gave some pips away after Foreign Purchases of Canadian assets increased to $10.13 billion during April, surpassing both forecasts ($4.27 billion) and the previous drop of $1.41 billion. Next on tap in the US docket will be the key result from the Industrial Production and Capacity Utilization during May. “We still rather think that the CAD looks a little rich at current levels—US-Canada spreads in the belly of the curve remain in USD-supportive territory and a positive message from the Fed this week may encourage yields to firm up a little more”, commented Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD key levels
At the moment the pair is up 0.17% at 1.0873 with the initial hurdle at 1.0922 (high Jun.10) followed by 1.0962 (high Jun.5) and finally 1.1001 (21-w MA). On the downside, a break below 1.0814 (low May 8) would expose 1.0762 (low Jan.8) and then 1.0737 (high Dec.20).
USD/CAD focus on US data
The pair gave some pips away after Foreign Purchases of Canadian assets increased to $10.13 billion during April, surpassing both forecasts ($4.27 billion) and the previous drop of $1.41 billion. Next on tap in the US docket will be the key result from the Industrial Production and Capacity Utilization during May. “We still rather think that the CAD looks a little rich at current levels—US-Canada spreads in the belly of the curve remain in USD-supportive territory and a positive message from the Fed this week may encourage yields to firm up a little more”, commented Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD key levels
At the moment the pair is up 0.17% at 1.0873 with the initial hurdle at 1.0922 (high Jun.10) followed by 1.0962 (high Jun.5) and finally 1.1001 (21-w MA). On the downside, a break below 1.0814 (low May 8) would expose 1.0762 (low Jan.8) and then 1.0737 (high Dec.20).