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17 Dec 2013
USD/CAD capped by 20-day SMA
FXstreet.com (Córdoba) - The USD/CAD rose to retest daily highs following the latest string of US and Canada's economic data.
While Canadian manufacturing shipments grew 1.0% in October, well above the -0.2% expected, US CPI stood unchanged in November, missing expectations while the current account deficit unexpectedly narrowed. Against this backdrop, the USD/CAD saw a quick spike toward 1.0595, from 1.0585 pre data, but lacked momentum to break above the 20-day SMA and pulled back.
USD/CAD levels to watch
At time of writing, the USD/CAD is trading at the 1.0590 area, virtually unchanged since opening. If the pair breaks above 1.0600 next resistances could be found at 1.0620 (200-hour SMA) and 1.0655 (Dec 12 high). On the other hand, supports are seen at 1.0575 (daily low) and 1.0560 (Dec 12 low).
While Canadian manufacturing shipments grew 1.0% in October, well above the -0.2% expected, US CPI stood unchanged in November, missing expectations while the current account deficit unexpectedly narrowed. Against this backdrop, the USD/CAD saw a quick spike toward 1.0595, from 1.0585 pre data, but lacked momentum to break above the 20-day SMA and pulled back.
USD/CAD levels to watch
At time of writing, the USD/CAD is trading at the 1.0590 area, virtually unchanged since opening. If the pair breaks above 1.0600 next resistances could be found at 1.0620 (200-hour SMA) and 1.0655 (Dec 12 high). On the other hand, supports are seen at 1.0575 (daily low) and 1.0560 (Dec 12 low).