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10 Jun 2014
USD/CAD deflates from highs
FXStreet (Edinburgh) - The USD-rally is now losing vigour, dragging the USD/CAD to test the critical 1.0900 handle after hitting session tops near 1.0920.
USD/CAD capped by 1.0960
Spot continues to correct lower from recent peaks around 1.0960 bolstered by better risk sentiment, although the greenback seems to be recovering from recent pullbacks. “We still view the broader trend here as positive, however, and still prefer to look for opportunities to buy USDs. USDCAD has struggled to push back through the 40-day MA in the past few weeks so an extension through the low 1.09s and a firm close is a basic pre-requisite for a more positive, short-term view of the market”, observed Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD levels to consider
As of writing the pair is up 0.01% with the next hurdle at 1.0.962 (high Jun.5) ahead of 1.1001 (21-w MA) and finally 1.1007 (high May 2). On the downside, a break below 1.0875 (low Jun.9) would expose 1.0814 (low May 8) and then 1.0762 (low Jan.8).
USD/CAD capped by 1.0960
Spot continues to correct lower from recent peaks around 1.0960 bolstered by better risk sentiment, although the greenback seems to be recovering from recent pullbacks. “We still view the broader trend here as positive, however, and still prefer to look for opportunities to buy USDs. USDCAD has struggled to push back through the 40-day MA in the past few weeks so an extension through the low 1.09s and a firm close is a basic pre-requisite for a more positive, short-term view of the market”, observed Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD levels to consider
As of writing the pair is up 0.01% with the next hurdle at 1.0.962 (high Jun.5) ahead of 1.1001 (21-w MA) and finally 1.1007 (high May 2). On the downside, a break below 1.0875 (low Jun.9) would expose 1.0814 (low May 8) and then 1.0762 (low Jan.8).