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8 May 2015
USD/CAD drops below 1.2100
FXStreet (Córdoba) - USD/CAD pulled back from highs and dipped below the 1.21 mark during the American session, as the greenback weakened more than the loonie in the aftermath of below-expectations Canadian and US payrolls.
USD/CAD initially moved higher and struck a high of 1.2145, but the surrendered ground and fell all the way back to 1.2044. However, the pair remained well-with its weekly boundaries. USD/CAD has steadied in a range over the last hours, and it was last down 0.32% on the day at 1.2085.
On the data front, US economy created 223K new jobs in April, although the bounce was offset by a downward revision for March to 85K from 126K. Meanwhile Canada lost 19,7K jobs in April, versus a 5K fall expected.
USD/CAD technical perspective
From a technical view, the TD Securities team notes that USD/CAD maintains a bullish bias despite choppy action. “Overall, we continue to view technical prospects here as more constructive for the USD, with USDCAD pushing through and holding above short-term trend resistance this week while the market is also carving out what appears to be a firm low in the mid 1.19s (double bottom neckline trigger at 1.22, measured move target on a break higher is 1.2450)”, said TDS analysts.
USD/CAD initially moved higher and struck a high of 1.2145, but the surrendered ground and fell all the way back to 1.2044. However, the pair remained well-with its weekly boundaries. USD/CAD has steadied in a range over the last hours, and it was last down 0.32% on the day at 1.2085.
On the data front, US economy created 223K new jobs in April, although the bounce was offset by a downward revision for March to 85K from 126K. Meanwhile Canada lost 19,7K jobs in April, versus a 5K fall expected.
USD/CAD technical perspective
From a technical view, the TD Securities team notes that USD/CAD maintains a bullish bias despite choppy action. “Overall, we continue to view technical prospects here as more constructive for the USD, with USDCAD pushing through and holding above short-term trend resistance this week while the market is also carving out what appears to be a firm low in the mid 1.19s (double bottom neckline trigger at 1.22, measured move target on a break higher is 1.2450)”, said TDS analysts.