March 26, 2012
|USD/CAD Open 0.9978-83 Overnight Range 0.9965-1.0000
The Canadian dollar, like the rest of the FX majors, traded quietly and directionless within a narrow band. The EUR/USD got a bit of a boost with an extremely modest uptick in the German IFO business confidence survey. Traders ignored Italian PM Monti’s comments on Spain’s fiscal woes, probably seen as the “pot calling the kettle, black” Meanwhile Asian equity indices (excluding Australia) were higher as were most of the European equity indices. NY equity futures are positive to start the day. WTI Oil is at $106.65 and gold is $1,661.39. There are no Canadian data releases today.
The short term USD/CAD technicals are mixed. The lack of follow through above 1.0050 following the break through at 0.9980 argues for consolidation in a 0.9950-1.0050 range, with 0.9850 providing a solid base. For today, USD support is at 0.9960 and 0.9930 with resistance at 1.0010 and 1.0030.
The Canadian dollar continues to be insulated from sustainable bouts of weakness due to expectations of firm oil and commodity prices and demand for CAD$ against EUR and JPY.
In other news, fans at opening day for the Texas Rangers will be able to feast on a 2 foot, one pound hotdog, complete with cheese, onions, chili and a side of fries for a mere $26.00. Toronto Blue Jay fans get the same priced hotdog except theirs is three inches, three ounces and no toppings.
Today’s Range 0.9940-0.9990