Canadian Dollar Morning Update March 9, 2016
USD/CAD Open: 1.3404-1.3405 Overnight Range: 1.3378-1.3446
The Canadian dollar was rangebound in overnight currency exchange markets. Oil is at $37.04 and gold is at $1,254. US futures are higher. Today, the Bank of Canada’s March meeting takes place.
The short term Canadian dollar technicals are neutral. For today, USD resistance is at 1.3471. Support is at 1.3307.
The Canadian dollar is soft this morning, as market participants await the impending rate decision taking place this morning at 10AM from the Bank of Canada. A hold at 0.50% is widely expected, and no press conference is scheduled afterwards. Tone will be the main focus, with markets expecting some explicit mention of the Canadian dollar, as it has rallied significantly since the last BoC meeting. CAD trading has largely been agnostic to central bank ebbs, with a disconnect from implied yield spreads being evident. We will see if that changes in the short-term, which would imply CAD downside.
Today’s Suggested Range USD/CAD: 1.3350 – 1.3450
Sincerely,
Rahim Madhavji | Knightsbridge Foreign Exchange | Toll-Free: 1-877-355-5239
www.knightsbridgefx.com
Knightsbridge Foreign Exchange has based the opinions expressed herein on information generally available to the public. Knightsbridge Foreign Exchange makes no warranty concerning the accuracy of this information and specifically disclaims any liability for trading decisions based on the opinions expressed and information contained herein. Such information and opinions are for general information only and are not intended to present advice with respect to matters reviewed and commented upon.
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By Admin | March 9, 2016 | Daily Update |
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