20 Jan 2015
USD/CAD advances beyond 1.2030
FXStreet (Edinburgh) - The US dollar gathers further steam now, pushing USD/CAD to the area of 1.2030, closer to multi-year peaks in the mid-1.2000s.
USD/CAD stronger on data
The pair is pushing higher after Canadian Manufacturing Sales contracted at a monthly pace of 1.4%, missing estimates (-0.6%) and extending October’s 1.1% drop. The data, albeit second-tier in Canada, added to CAD weakness and is also bolstering the current bull run. Strategists at Scotiabank argued “all technical studies warn of upside risk; however with the inability for USDCAD to close above 1.20, there is some caution on the charts”.
USD/CAD levels to consider
At the moment the pair is up 0.66% at 1.2028 with the next hurdle at 1.2047 (2015 high Jan.16) followed by 1.2070 (low Apr.24 2009) and then 1.2100 (psychological level). On the downside, a break below 1.1940 (low Jan.20) would aim for 1.1934 (low Jan.19) and finally 1.1922 (Tenkan Sen).
USD/CAD stronger on data
The pair is pushing higher after Canadian Manufacturing Sales contracted at a monthly pace of 1.4%, missing estimates (-0.6%) and extending October’s 1.1% drop. The data, albeit second-tier in Canada, added to CAD weakness and is also bolstering the current bull run. Strategists at Scotiabank argued “all technical studies warn of upside risk; however with the inability for USDCAD to close above 1.20, there is some caution on the charts”.
USD/CAD levels to consider
At the moment the pair is up 0.66% at 1.2028 with the next hurdle at 1.2047 (2015 high Jan.16) followed by 1.2070 (low Apr.24 2009) and then 1.2100 (psychological level). On the downside, a break below 1.1940 (low Jan.20) would aim for 1.1934 (low Jan.19) and finally 1.1922 (Tenkan Sen).