January 30, 2012
USD/CAD Open 1.0044-49 Overnight Range 1.0010-1.0070
|The Canadian dollar gave back Friday’s gains with the EUR/USD retreating from recent highs. A mix of technical resistance in the EUR/USD 1.3240 area and a lack of a debt deal in Greece over the weekend gave the USD a lift. Another EU summit starts today and the Greeks are irate at a German plan to appoint a budget overlord, seeing it as an affront to their dignity. Global equity indices are all lower as are NY equity futures. Oil is at $99.11/bbl and gold is trading at $1,721.34.
The short term CAD$ is still in a steep uptrend channel (0.9940-1.0105) with good two way trading within the band. For today, USD support is at 1.0030, 1.0010 and 0.9980. USD resistance is at 1.0070, 1.0080 and 1.0105
The Canadian dollar remains at the mercy of investor sentiment surrounding the European debts crisis. There are a few reports that tomorrows month end fixing requirements will be USD negative, which would give the loonie a boost.
And in other news, American Express looked a tad silly after reportedly flogging a $749 cruise deal on the Costa Concordia, a week after the cruise floundered off the Italian coast. I wonder if Gold Card members with Front of the Line privileges would have received invitations to board life boats ahead of other passengers.
Forecast Range of the Day 1.0010-1.0080