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26 Aug 2014
USD/CAD indifferent after US docket
FXStreet (Edinburgh) - The USD remains in the negative camp following the release of the US Durable Goods Orders, with the USD/CAD hovering over 1.0965/60.
USD/CAD softer-to-consolidative
Spot is now extending the range-bound pattern around the 1.0960/70 band, after US headline Durable Goods Orders jump 22.6% during the month of July, crushing previous estimates; excluding the Transportation sector, orders contracting at a monthly pace of 0.8%. “We have seen a push higher towards the 1.1000 area in Asia but for now the level has held and has failed to break. There is still talk of barrier defence up there, so a clean break through there should induce further Usd buying. To the downside we would expect to see good support on any pull back towards yesterday’s lows ie around 1.0940/1.0950”, noted Stephen Gallo, European Head, FX Strategy at BMO.
USD/CAD levels to watch
At the moment the pair is losing 0.23% at 1.0960 with the next support at 1.0927 (21-d MA) ahead of 1.0899 (high Aug.18) and finally 1.0883 (200-d MA). On the upside, a breakout of
1.0998 (high Aug.26) would open the door to 1.1007 (high May 2) and then 1.1026 (61.8% of 1.1279-1.0616).
USD/CAD softer-to-consolidative
Spot is now extending the range-bound pattern around the 1.0960/70 band, after US headline Durable Goods Orders jump 22.6% during the month of July, crushing previous estimates; excluding the Transportation sector, orders contracting at a monthly pace of 0.8%. “We have seen a push higher towards the 1.1000 area in Asia but for now the level has held and has failed to break. There is still talk of barrier defence up there, so a clean break through there should induce further Usd buying. To the downside we would expect to see good support on any pull back towards yesterday’s lows ie around 1.0940/1.0950”, noted Stephen Gallo, European Head, FX Strategy at BMO.
USD/CAD levels to watch
At the moment the pair is losing 0.23% at 1.0960 with the next support at 1.0927 (21-d MA) ahead of 1.0899 (high Aug.18) and finally 1.0883 (200-d MA). On the upside, a breakout of
1.0998 (high Aug.26) would open the door to 1.1007 (high May 2) and then 1.1026 (61.8% of 1.1279-1.0616).