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1 Apr 2014
USD/CAD soft undertone, but outlook encouraging
FXStreet (Guatemala) - USD/CAD is trading at 1.1049, up 0.01% on the day, having posted a daily high at 1.1072 and low at 1.1027.
Despite the ISM Manufacturing PMI rising less than expected in March, 53.7 vs 54.0 expected, USD/CAD has held its form between 1.1040/60. Regarding candlestick formations, we can see Hammer formation on the 4-hour .
USD/CAD encouraging short term
Strategists at TD Securities however noted that USD/CAD retains a soft undertone but they think price signals are a little more encouraging from a short-term point of view, with the foot of the Q1 consolidation still providing something of a base for the USD and a daily bullish “hammer” signal obvious from yesterday. “Minor gains (through the 40-day MA at 1.1081) from here would help lift USD/CAD tone on the daily chart. Loss of support around 1.10 now would be a short-term blow at least to out bullish outlook”.
USD/CAD Levels
Spot is presently trading at 1.1052, and next resistance can be seen at 1.1052 (Hourly 20 EMA), 1.1064 (Hourly 100 SMA), 1.1069 (Yesterday's High), 1.1072 (Daily High) and 1.1080 (Daily Classic R1). Next support to the downside can be found at 1.1050 (Daily Open), 1.1040 (Daily Classic PP), 1.1031 (Weekly Low), 1.1027 (Daily Low) and1.1012 (Daily Classic S1).
Despite the ISM Manufacturing PMI rising less than expected in March, 53.7 vs 54.0 expected, USD/CAD has held its form between 1.1040/60. Regarding candlestick formations, we can see Hammer formation on the 4-hour .
USD/CAD encouraging short term
Strategists at TD Securities however noted that USD/CAD retains a soft undertone but they think price signals are a little more encouraging from a short-term point of view, with the foot of the Q1 consolidation still providing something of a base for the USD and a daily bullish “hammer” signal obvious from yesterday. “Minor gains (through the 40-day MA at 1.1081) from here would help lift USD/CAD tone on the daily chart. Loss of support around 1.10 now would be a short-term blow at least to out bullish outlook”.
USD/CAD Levels
Spot is presently trading at 1.1052, and next resistance can be seen at 1.1052 (Hourly 20 EMA), 1.1064 (Hourly 100 SMA), 1.1069 (Yesterday's High), 1.1072 (Daily High) and 1.1080 (Daily Classic R1). Next support to the downside can be found at 1.1050 (Daily Open), 1.1040 (Daily Classic PP), 1.1031 (Weekly Low), 1.1027 (Daily Low) and1.1012 (Daily Classic S1).