10 Apr 2014
USD/CAD supported around 1.0860
FXStreet (Edinburgh) - The generalized USD weakness took a toll on the USD/CAD recently, dragging spot to levels around 1.0860, last seen in early January.
USD/CAD in multi-week lows
The pair is prolonging its sharp sell off from multi-year peaks near 1.1300 the figure posted in early March, intensified after the FOMC minutes disappointed USD-bulls on Wednesday. Spot remains highly dependent on the USD performance, with today’s weekly report on the US labour market and tomorrow’s advanced Reuters/Michigan index as the main upcoming events. In the opinion of Jane Foley, Senior Currency Strategist at Raboabnk, “we would view rallies in USD/CAD as selling opportunities and we have brought forward our target of 1.09 into a 6 mth view”.
USD/CAD levels to watch
The pair is now flat at 1.0880 with the next support at 1.0858 (low Apr.9) followed by 1.0836 (low Jan.10) and then 1.0835 (38.2% of 1.0582-1.0992). On the upside, a breakout of 1.0904 (weekly Tenkan Sen) would aim for 1.0906 (100-d MA) and finally 1.0907 (daily cloud base).
USD/CAD in multi-week lows
The pair is prolonging its sharp sell off from multi-year peaks near 1.1300 the figure posted in early March, intensified after the FOMC minutes disappointed USD-bulls on Wednesday. Spot remains highly dependent on the USD performance, with today’s weekly report on the US labour market and tomorrow’s advanced Reuters/Michigan index as the main upcoming events. In the opinion of Jane Foley, Senior Currency Strategist at Raboabnk, “we would view rallies in USD/CAD as selling opportunities and we have brought forward our target of 1.09 into a 6 mth view”.
USD/CAD levels to watch
The pair is now flat at 1.0880 with the next support at 1.0858 (low Apr.9) followed by 1.0836 (low Jan.10) and then 1.0835 (38.2% of 1.0582-1.0992). On the upside, a breakout of 1.0904 (weekly Tenkan Sen) would aim for 1.0906 (100-d MA) and finally 1.0907 (daily cloud base).