November 26, 2012
USD/CAD 0.9929-34 Overnight Range: 0.9918-0.9938
The USD/CAD rate cracked the 0.9940 support area on Friday but is struggling with the second level of defense at 0.9920 as the prospect of Greece getting some bail-out funds combined with the prospect of some sort of deal getting done about the US Fiscal Cliff. The US is returning from their Thanksgiving shopping spree to see global equity indices a tad lower and NY equity index futures down. Gold is $1,750.46 and WTI Oil is $87.76. There are no data releases of note.
The short term hourly USD/CAD technicals are bearish with the break of 0.9940 but need to break 0.9920 to confirm the start of another US dollar down-leg, aiming for 0.9630. The daily chart below identifies support from the existing USD uptrend line from the Sept. 14 low of 0.9633. Further support is derived from the 100 day moving average at 0.9929. However, the dip below the 38.2% retracement of the 0.9633-1.0445 range suggests a 1005 retracement is in the cards.
And in other news, the Toronto Argonauts won the 100th Grey Cup championship in front of a hometown crowd. The half-time show that featured Justin Bieber and Gordon Lightfoot as the CFL marketing staff attempted to appeal to the 8 year-old girl -80 year old male demographic.
Today’s Range 0.9920-60
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