28 Jul 2014
USD/CAD above 1.0800 pre-data
FXStreet (Edinburgh) -The greenback is trading almost unchanged against the Canadian dollar on Monday, with the USD/CAD hovering over 1.0810/15 so far.
USD/CAD focus on US docket
The pair is extending its resilience above the 1.0800 mark at the beginning of the week following last Friday’s spike to the vicinity of 1.0820. Ahead in the day, Services PMI gauged by Markit (59.8 exp.) and Pending Home Sales 0.5% MoM exp.) will be the main attractions in the US economy. “A sustained push through the low/mid 1.08s (200-day MA at 1.0832) in the next day or so will be more than uncomfortable for CAD bears and would perhaps force the more resilient CAD shorts to cover”, observed Shaun Osborne, Chief FX Strategy at TD Securities.
USD/CAD levels to watch
As of writing the pair is down 0.01% at 1.0809 with the next support at 1.0739 (low Jul.25) followed by 1.0708 (low Jul.18) and finally 1.0694 (high Jul.8). On the upside, a breakout of 1.0822 (high Jul.25) would open the door to 1.0825 (daily cloud base) and then 1.0827 (61.8% of 1.0962-1.0620).
USD/CAD focus on US docket
The pair is extending its resilience above the 1.0800 mark at the beginning of the week following last Friday’s spike to the vicinity of 1.0820. Ahead in the day, Services PMI gauged by Markit (59.8 exp.) and Pending Home Sales 0.5% MoM exp.) will be the main attractions in the US economy. “A sustained push through the low/mid 1.08s (200-day MA at 1.0832) in the next day or so will be more than uncomfortable for CAD bears and would perhaps force the more resilient CAD shorts to cover”, observed Shaun Osborne, Chief FX Strategy at TD Securities.
USD/CAD levels to watch
As of writing the pair is down 0.01% at 1.0809 with the next support at 1.0739 (low Jul.25) followed by 1.0708 (low Jul.18) and finally 1.0694 (high Jul.8). On the upside, a breakout of 1.0822 (high Jul.25) would open the door to 1.0825 (daily cloud base) and then 1.0827 (61.8% of 1.0962-1.0620).