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USDCAD Nears Resistance With Intraday USD U-Turn

CANADA
  • USDCAD continues to lift strongly with the day’s resumption of USD strength, now up 70 pips off of pre-US cash equity open lows as strong increases in US real yields to 2009 highs have weighed on risk sentiment.
  • It notches a high of 1.3567 and is bearing in on Friday’s 1.3575, with a more concerted push higher able to open a key resistance at 1.3655 (May 26 high).
  • Whilst not notable in isolation, tomorrow’s NY cut sees decent cumulative option expiry at lower strikes at 1.3465 ($338m), 1.3470 ($482m) and 1.3500 ($298m).

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