$USDCAD eases from highs
Topic: $USDCAD eases from highs
FXStreet (Edinburgh) - After knocking on the 1.2000 doors earlier on during the European morning, USD/CAD sparked a correction lower to the current mid-1.1900s.
USD/CAD capped by 1.2000
The positive momentum of the US dollar continues to feed the almost relentless ascent of the pair to levels last seen in April 2009 just below 1.2000 the figure, posting at the same time fresh multi-year highs. In the data space, the Business Optimism Index tracked by NFIB climbed to 100.4 during December (strongest reading since October 2006), surpassing both consensus and November’s print. “Moving averages are “flaring” away from each other and the alignment of trend momentum studies on the short, medium and long term charts suggest no real scope for a USD drop at
present and modest dips remain a buy”, suggested Shaun Osborne, Chief FX Strategist at TD Securities.
USD/CAD key levels
The pair is now losing 0.08% at 1.1955 with the next support at 1.1836 (low Jan.12) ahead of 1.1808 (10-d MA) and then 1.1805 (low Jan.9). On the upside, a surpass of 1.1992 (2015 high Jan.13) would aim for 1.2000 (psychological level) and finally 1.2070 (low Apr.24 2009).