April 3, 2012
|USD/CAD Open 0.9917-22 Overnight Range 0.9890-0.9920
The Canadian dollar managed to keep most of yesterday’s gains overnight. The AUD/USD weakened after the RBA left interest rates unchanged and hinted at forthcoming rate cuts if inflation slowed. Aussie equities roses as did the Hang Seng, while the Nikkei declined. European equity indices were all lower and so are NY equity futures. WTI Oil prices are at $104.40 after yesterday’s report showing an increase in supply. Gold is $1,676.93. Today’s US data includes Factory Orders (forecast +1.5) and the FOMC minutes
The short term USD/CAD technicals are bullish following yesterday’s break of USD support at 0.9960. The currency pair needs to break support at 0.9880 to extend gains to 0.9840’ For today, USD support is at 0.9880 and 0.9840/ Resistance is now at 0.9940 and 0.9960
The Canadian dollar is unlikely to extend gains through 0.9880 ahead of today’s US FOMC minutes, in case there is more discussion on QE III.
In other news, a 93 year old Florida woman has finally retired her 1964 Mercury after 576,000 miles and not due to mechanical problems but because she is legally blind. This comes as a huge relief to the residents of Orlando, many of whom who confused her with the myopic Mr. McGoo , after being stuck behind her for 20 miles at 10 mph.