FX Morning Update November 25, 2011
USD/CAD Open: 1.0510-12 Overnight Range: 1.0470-1.0523
The Canadian dollar lost some ground overnight vs. the USD. Oil is at $95.21 and gold is at $1,682. NY futures are pointing lower. There are no major data releases today and it may be a light trading day due to yesterday’s US holiday and black Friday today.
The short term Canadian dollar technicals remain negative. For today, USD resistance is at 1.0510, 1.0590, and 1.0660. Support is at 1.0450, 1.0430, 1.0370, and 1.0320.
Markets continue to trade risk-off today as Germany has indicated it will not support Eurobonds and the latest Italian bond auction was executed at record yields. Moody’s cutting Hungary’s bond rating and Fitch cutting Portugal’s credit rating didn’t help. The key focus remains on Europe and how Germany, Italy, and France can reach to put confidence back in the markets that the eurozone debt issues will be contained. Markets continue to be driven by headlines and the flock to safety of the USD and the loonie has been hit hard of late due to risk aversion.
Today’s Range: 1.0450 – 1.0550
Rahim Madhavji | Knightsbridge Foreign Exchange
By Admin | December 2, 2011 | Daily Update |
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