Back
8 Feb 2013
Forex: USD/CAD consolidates above parity
The Loonie is giving away ground against the buck on Friday, pushing the cross above parity after strong reading from the US trade balance, eclipsing the drop of the Canadian jobless rate and the better trade deficit figures.
“The move up from yesterday’s low consolidated through the overnight session in a small, bull triangle and the break out on the topside has been followed by a swift move up. Gains have stalled in the 1.0030 area—near last Friday’s high—but the measured move implication of the small bull consolidation that broke earlier is a gain to 1.0050 at least”, explains the research team at TD Securities.
USD/CAD is now up 0.49% at 1.0028 with the immediate resistance at 1.0053 (high Jan.30) ahead of 1.0067 (high Jan.29) and finally 1.0090 (Upper Bollinger).
On the flip side, a breakdown of 0.9995 (high Feb.5/7) would clear the way to 0.9992 (MA200d) and then 0.9971 (low Feb.8).
“The move up from yesterday’s low consolidated through the overnight session in a small, bull triangle and the break out on the topside has been followed by a swift move up. Gains have stalled in the 1.0030 area—near last Friday’s high—but the measured move implication of the small bull consolidation that broke earlier is a gain to 1.0050 at least”, explains the research team at TD Securities.
USD/CAD is now up 0.49% at 1.0028 with the immediate resistance at 1.0053 (high Jan.30) ahead of 1.0067 (high Jan.29) and finally 1.0090 (Upper Bollinger).
On the flip side, a breakdown of 0.9995 (high Feb.5/7) would clear the way to 0.9992 (MA200d) and then 0.9971 (low Feb.8).