USD/CAD in a narrow range, around 1.0860

FXStreet (Edinburgh) - The greenback is trading on a better tone vs. its neighbour on Wednesday, taking the USD/CAD to test session highs beyond 1.0860.

USD/CAD extends the bounce off sub-1.0840

After bottoming out in sub-1.0840 levels on Tuesday, spot managed to advance to the 1.0860/70 band backed by a better sentiment around the USD. Next on tap of relevance will be tomorrow’s weekly report on the US labour market followed by the Q1 GDP figures and ahead of Friday’s inflation figures in Canada. “Last week's break above the trend line on the daily chart fizzled as USDCAD touched 1.0940, and yesterday's failure to hold on to gains into the 1.0870 area leaves the pair liable for a retest of the low 1.08 support”, suggested Shaun Osborne, Chief FX Strategist at TD Securities.

USD/CAD key levels

At the moment the pair is up 0.02% at 1.0861 with the next resistance at 1.0881 (high May 26) ahead of 1.0909 (high May 23) and then 1.0932 (high May 22). On the downside, a breach of 1.0814 (low May 8) would open the door to 1.0762 (low Jan.8) and finally 1.0737 (high Dec.20).

United States MBA Mortgage Applications down to -1.2% in May 23 from previous 0.9%

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EUR/USD warming up for 1.3600?

The shared currency is extending its intraday decline on Wednesday, putting to the test the key support at 1.3600. ..
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