Free Trial

USDCAD Struggles To Re-Test 1.32 Despite US Dollar Strength

CANADA
  • USDCAD continues to appear reluctant to see a push back above 1.32, having topped out the past two days at 1.3193 and 1.3195.
  • Further USD strength, today concentrated against JPY, sees CAD joint second in the G10 FX pecking order behind NOK (having only lagged AUD yesterday) in a reversal of its struggles earlier in the week.
  • CAD retail sales land first, but there’s decent cumulative option expiry at nearby strikes for today’s NY cut, with $651m at 1.3155 and $379m at 1.3145, which could limit upside moves in the interim, although the largest of the day lands at 1.3300 with $732m.
  • Resistance seen at 1.3224 (20-day EMA), whilst yesterday’s low of 1.312 took another step closer to but didn’t trouble longstanding support at 1.3084 (1.618 proj of Apr 28–May 8–May 26 price swing).

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.