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CAD Still Trying To Resist Today’s USD Move

CANADA
  • CAD, along with AUD and NZD continues to try to resist today’s leg of US dollar strength, limiting USDCAD to +0.2% at 1.285, the high of the narrow range for the US session.
  • Having cleared resistance at 1.2786 yesterday, it has quickly opened 1.2871 (Mar 15 high) after which it would eye the key resistance of 1.2901 (Mar 8 high), the post-war peak.
  • Technical conditions are seen remaining bullish for the pair, helped by geopol uncertainty, but Can-US yield differentials aren’t of much help directionally, at fairly typical levels (2Y -7bps, 10Y -1bps).

Source: Bloomberg

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