USDCAD Open 1.0961-66 Overnight Range 1.0964-1.0995
USDCAD was unable to overcome resistance in the 1.0995 area ahead of a rumoured option barrier at 1.1000 which was apparently being defended. A round of profit taking on long US dollar positions led to a weaker US dollar vs. the majors. Chatter of US dollar selling for month end portfolio rebalancing likely helped to encourage the move. The US data, including Durable Goods is will likely reinforce the US recovery theme but unlikely to rally the dollar as it is expected.
The intraday USDCAD technicals are bearish below 1.0975 but struggling to overcome support from the uptrend line from the 1.0830 low which is now at 1.0960. A move below 1.0960 opens up a dip to 1.0940 and then 1.0920. A rally through 1.0975 targets 1.1010.
Today’s Range 1.0940-80