May 21, 2024 12:18 GMT
USDCAD Sees Post-CPI Option Expiry Biased Higher, EURCAD In Bull Mode Position
CANADA
- USDCAD has pulled back for almost unchanged on the day at 1.3621, pulling back from overnight highs of 1.3644 despite a >1% decline in WTI.
- Tight initial technical levels: The earlier high marked a step towards resistance at 1.3660 (20-day EMA) but it’s also close to support at 1.3590 (May 16 low) which it came close to yesterday with 1.3596.
- Today’s NY cut sees a sizeable $944m at 1.3645 whilst other notable expiries are biased higher with $643m at 1.3700 and $647m at 1.3765.
- On other crosses, see our post at 0553ET highlighting EURCAD’s break above a cluster of highs from the past six months around 1.4780, close to recent highs of 1.4822 and with moving averages in a bull mode position.
- Final re-upping of the CPI preview: https://roar-assets-auto.rbl.ms/files/64303/CanadaCPIPrevMay2024.pdf
128 words