Instrument: USDCAD
Technical Analysis
Bullish Preference:
Buy is envisage if price trades above 1.23253 with take profit at 1.23456.
Bearish Preference:
Sell is envisaged if price trades below 1.22771 with take profit at 1.22597.
Fundamentals:
USD 1:30PM Advance GDP q/q
Advance GDP Price Index q/q
Unemployment Claims
3:00PM Pending Home Sales m/m
Comment: The Canadian dollar got a minor lift following the release of upbeat domestic Retail Sales, which recorded a strong-than-expected growth of 4.8% in February. This comes on the back of last week’s more hawkish B.O.C decision and a goodish pickup in crude oil prices, which continued acting as a tailwind for the commodity-linked Loonie. Apart from this, a fresh leg down in the US dollar further contributed to the pair’s overnight downfall.
The USD started losing ground after the Fed announced its latest monetary policy decision and refrained from giving any hint about QE tapering. As was widely anticipated, the Fed left its monetary policy settings unchanged and repeated that it was too early to consider rolling back emergency support for the economy.
Analysis: SCRUM Team