USDCAD Open 1.0710-14 Overnight Range 1.0700-25
Original post on Saxo Bank’s Trading Floor
The USDCAD drifted lower from its early Asian peak in a light trading session. USDJPY retreated from its Asia high at 105.39 while the US dollar lost ground against EUR and GBP. Intraday FX trading is dominated by flows with fundamental and technical traders seemingly checked out for the year. EURUSD strength continues to confound pundits while GBPUSD gains are being attributed to a bullish UK economic outlook. Japan is still trying to stimulate it’s economy while the US is paring back stimulus. USDCAD stays bid due to the perception that the Bank of Canada is still dovish.
The intraday USDCAD technicals are modestly BEARISH while trading below 1.0720 but needs to break support in the 1.0700-10 zone to extend losses to the 1.0650-80 support zone. A move above 1.0720 will see a retest of the 1.0735 peak which if broken would extend gains to 1.0775 and then 1.0800.
Today’s Range 1.0680-1.0735