USD/CAD Open: 1.1266-1.1268 March 20, 2014
USD/CAD Open: 1.1266-1.1268 Overnight Range: 1.1231-1.1275
The Canadian dollar was rangebound in overnight currency exchange markets. Oil is at $99.85 and gold is at $1,325. US futures are lower. Today, the US releases weekly jobless claims.
The short term Canadian dollar technicals are bearish. For today, USD resistance is at 1.1180 and 1.1260. Support is at 1.0890 and 1.0610.
US weekly jobless claims data was slightly better than expected this morning. Fed Chairwomen hinted yesterday that rate hikes could happen sooner than expected rather than later in the US and that boosted the US dollar relative to the Canadian dollar. US yields are higher. With the Bank of Canada’s Poloz being cautious on the interest rate outlook and with Fed’s Yellen moving towards rate hikes, this creates a lot of momentum for the US dollar. The Canadian dollar lacks a near term catalyst and Canadian economic data points would need to surprise to the upside for there to be a change in momentum.
Today’s Suggested Range USD/CAD: 1.1199 – 1.1299
Rahim Madhavji | Knightsbridge Foreign Exchange
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By Admin | March 20, 2014 | Daily Update |
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