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18 Jun 2013
USD/CAD falls below 1.0200 after US CPI
FXstreet.com (New York) - The USD/CAD technical pair has fallen off earlier European highs of 1.0215, retreating below the key 1.0200 barrier after US data.
In the United States, the Consumer Price Index ex Food & Energy (YoY) has climbed +1.7% in May, matching expectations of +1.7%. In addition, the Consumer Price Index (YoY) was reported at +1.4% in May, in line with projections calling for +1.4%. Housing Starts (MoM) yielded a figure of 0.914M in May, missing expectations of 0.950M. Finally, Building Permits (MoM) gave a result of 0.974M in May, compared with an estimate of 0.975M.
USD/CAD could see swing to 1.0250
“The USD/CAD continues to show signs of trying to base, while the short-term bear pressure is moderating and the market has pushed through short-term channel resistance in the 1.0200 area in late morning European trade. We think an extension through 1.0210/15 (note 40-day MA at 1.0208) should see the USD rise to 1.0250/80.” suggests the TD Securities Team.
Technically speaking, the pair is operating at 1.0194, or +0.08% in these moments. The USD/CAD will look towards resistances at 1.0211 followed by 1.0235, and finally 1.0266. Alternatively, a movement to the downside and a paring of gains will usher in supports at 1.0156, then 1.0125, and eventually 1.0101, calculates the Mataf.net analyst team.
In the United States, the Consumer Price Index ex Food & Energy (YoY) has climbed +1.7% in May, matching expectations of +1.7%. In addition, the Consumer Price Index (YoY) was reported at +1.4% in May, in line with projections calling for +1.4%. Housing Starts (MoM) yielded a figure of 0.914M in May, missing expectations of 0.950M. Finally, Building Permits (MoM) gave a result of 0.974M in May, compared with an estimate of 0.975M.
USD/CAD could see swing to 1.0250
“The USD/CAD continues to show signs of trying to base, while the short-term bear pressure is moderating and the market has pushed through short-term channel resistance in the 1.0200 area in late morning European trade. We think an extension through 1.0210/15 (note 40-day MA at 1.0208) should see the USD rise to 1.0250/80.” suggests the TD Securities Team.
Technically speaking, the pair is operating at 1.0194, or +0.08% in these moments. The USD/CAD will look towards resistances at 1.0211 followed by 1.0235, and finally 1.0266. Alternatively, a movement to the downside and a paring of gains will usher in supports at 1.0156, then 1.0125, and eventually 1.0101, calculates the Mataf.net analyst team.