22 Jul 2013
USD/CAD testing 5-week lows around 1.0320
FXstreet.com (Edinburgh) -The USD/CAD keeps its march south on Monday, dragged lower by the increasing selling pressure around the greenback and the prevailing risk-on trade amongst investors.
USD/CAD hit by US data
Disappointing data from the US housing sector – with Existing Home Sales contracting 1.2% MoM in June – are taking a toll on the greenback, as investors continue to gauge the data vs. the likelihood of the Fed scaling back its monthly purchases of bonds. “We look for support to hold in the low 1.03 area for now. Above 1.0440 (which looks distant at the moment) should see the USD rebound sharply”, suggested strategists at TD Securities.
USD/CAD relevant levels
As of writing, the pair is retreating 0.35% at 1.0329 facing the next support at 1.0317 (61.8% of 1.0137-1.0609) followed by 1.0300 (psychological level) and finally 1.0288 (high Jun.19). On the upside, a breakout of 1.0368 (high Jul.22) would clear the way to 1.0380 (Kijun line) and then 1.0433 (Tenkan line).
USD/CAD hit by US data
Disappointing data from the US housing sector – with Existing Home Sales contracting 1.2% MoM in June – are taking a toll on the greenback, as investors continue to gauge the data vs. the likelihood of the Fed scaling back its monthly purchases of bonds. “We look for support to hold in the low 1.03 area for now. Above 1.0440 (which looks distant at the moment) should see the USD rebound sharply”, suggested strategists at TD Securities.
USD/CAD relevant levels
As of writing, the pair is retreating 0.35% at 1.0329 facing the next support at 1.0317 (61.8% of 1.0137-1.0609) followed by 1.0300 (psychological level) and finally 1.0288 (high Jun.19). On the upside, a breakout of 1.0368 (high Jul.22) would clear the way to 1.0380 (Kijun line) and then 1.0433 (Tenkan line).