Canadian Dollar USD/CAD FX Morning Update October 17, 2013
USD/CAD Open: 1.0304-1.0306 Overnight Range: 1.0291-1.0333
The Canadian dollar was rangebound in overnight currency exchange markets. Oil is at $101.05 and gold is at $1,314. NY futures are lower today. Today, the US releases weekly jobless claims and Philly FED Mfg. index.
The short term Canadian dollar technicals are bearish. For today, USD resistance is at 1.0380, 1.0580 and 1.0850. Support is at 1.0150, and 1.0010.
A deal has been reached to avert a default and the US government is now open. The Canadian dollar is a key benefactor and it has moved higher as flows move out of the US dollar in to risk currencies. The focus will now be on corporate earnings and economic data. The guessing game begins on how long the FED will delay tapering, which could now be in to the new year. The longer the delay, the better for the Canadian dollar. With another debt ceiling deadline approaching in February 2014, the FED could potentially delay all tapering until this deadline is passed as well and this could be favorable for the Canadian dollar.
Today’s Suggested Range USD/CAD: 1.0275 – 1.0375
Rahim Madhavji | Knightsbridge Foreign Exchange
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By Admin | October 17, 2013 | Daily Update |
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