Canadian Dollar Update May 25, 2016
USD/CAD Open: 1.3126-1.3127 Overnight Range: 1.3085-1.3134
The Canadian dollar was rangebound in overnight currency exchange markets. Oil is at $49.22 and gold is at $1,224. US futures are higher. There are no major domestic data releases scheduled for today.
The short term Canadian dollar technicals are neutral. For today, USD resistance is at 1.3173. Support is at 1.3071.
The Canadian dollar is flat this morning, in anticipation of today’s Bank of Canada rate decision. A rate hold is widely expected in Canada, with the BoC taking a neutral tone. Markets have not yet priced in one rate hike from the Fed, which is a far ways off from the 2-3 rate hikes recent Fedspeak has alluded to. Contrasting monetary policy between Canada and the US will be the main storyline moving towards the middle of the year.
Today’s Suggested Range USD/CAD: 1.3100 – 1.3200
Rahim Madhavji | Knightsbridge Foreign Exchange | Toll-Free: 1-877-355-5239
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 | May 25, 2016 | Daily Update | 0 comments