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15 Jul 2013
USD/CAD testing lower through 1.0400 handle
FXstreet.com (London) - USD/CAD dropped through intraday support at 1.0410 to print number sub the 1.0400 handle on the release of disappointing US Retail sales numbers.
US Retail Sales printed 0.4% vrs a consensus of 0.8% and slightly lower than previous of 0.5%. Previously, the USD had ben trading modestly higher against a mixed backdrop of commodity and equity markets in light of the Feds recent caution. For Canada, Governor Poloz’s first policy meeting on Wednesday will be the highlight of the week for the pair.
“We look for a steady as she goes message from the new Governor ahead of Friday’s CPI data, which is expected to show inflation trends remaining weak” said research teams at TD Securities. They said that steady policy may be modestly supportive for the CAD, given the low-key speculation that the Poloz BoC may soft-pedal the tightening bias even more.
USD/CAD corrected in ascending channel
USD/CAD, I the longer term, is continuing to ascend in the channel although failed to maintain the top side since the FOMC. Danske Bank Technical Update is favouring the upside towards 200d ma at 1.0458 with key support around 50d ma at 1.0322/26 and below there 1.0269, 10.240 and 1.0170. Resistances come as 1.0472, 1.0526, 1.0550 and 1.0609.
US Retail Sales printed 0.4% vrs a consensus of 0.8% and slightly lower than previous of 0.5%. Previously, the USD had ben trading modestly higher against a mixed backdrop of commodity and equity markets in light of the Feds recent caution. For Canada, Governor Poloz’s first policy meeting on Wednesday will be the highlight of the week for the pair.
“We look for a steady as she goes message from the new Governor ahead of Friday’s CPI data, which is expected to show inflation trends remaining weak” said research teams at TD Securities. They said that steady policy may be modestly supportive for the CAD, given the low-key speculation that the Poloz BoC may soft-pedal the tightening bias even more.
USD/CAD corrected in ascending channel
USD/CAD, I the longer term, is continuing to ascend in the channel although failed to maintain the top side since the FOMC. Danske Bank Technical Update is favouring the upside towards 200d ma at 1.0458 with key support around 50d ma at 1.0322/26 and below there 1.0269, 10.240 and 1.0170. Resistances come as 1.0472, 1.0526, 1.0550 and 1.0609.