November 20, 2012
USD/CAD 0.9969-74 Overnight Range: 0.9956-0.9978
The Canadian dollar rose and fell in a narrow band as G-7 currencies made a half-hearted attempt at risk seeking, even as Global equity indices pared back yesterday’s gains. The improving risk sentiment was tested with the announcement by Moody’s that they were downgrading France from Aaa to Aa1, in a move widely expected. Fortunately, elevated optimism surrounding the bail-out funds for Greece, offset the effect of the downgrade. WTI oil is at $88.94, in part due to Middle East tensions while gold is $1,733.92
The short term hourly USD/CAD technicals are bearish looking for a break of 0.9939 (100 day moving average) to kick off another US dollar down-leg targeting a reprint of 0.9630 A move below 0.9939 also negates the daily USD uptrend. . For today, USD support is at 0.9940 and 0.9910. Resistance is at 0.9980 and 1.0005
Today will be the last full day of trading in the US for the week as those who can, head out early to be first in line at the turkey buffet. Consequently FX trading should be very quiet.
And in other news, a 24 year old man in Kingston was arrested for walking down the street during the Santa Claus parade and telling the kids that Santa didn’t exist. Santa quickly put him on the naughty list while Kingston police put him in the drunk tank
Today’s Range 0.9910-0.9980
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