October 31, 2012
USD/CAD 0.9973-78 Overnight Range: 0.9960-9997
The USD/CAD retreated below par yesterday and stayed below that level in a dull overnight session. Hurricane Sandy, Friday’s US employment report and next week’s Presidential election have conspired to reduce liquidity. In the bi-polar world of FX, markets are a tad less risk averse than they were on Monday and Tuesday, supported by hopes that the EU conference call on Greece yields some results. Global Equity indices and NY equity indice futures are in positive territory with lower Manhattan employees expected to wade into work today. Gold is $1,721.00 and WTI Oil is $86.39. Canadian GDP (forecast 1.7% YoY) should have little impact
The short term USD/CAD technical’s are bearish with the move back through the steep uptrend line at 0.9995 which argues for a test of USD support at 0.9950.A USD move back above 0.9990 negates the short term downtrend. For today, USD support is at 0.9950, 0.9920 and 0.9885. Resistance is at 0.9990 and 1.0020
And in other news, an actual headline for a story in the UK Daily Mail reads “Hurricane Sandy forces coffins of the dead to rise up from the ground” I guess in merry old England, they have coffins for the “live” as well.
Today’s Range 0.0.9950-0.9990
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