Current Account Deficit curbs C$, no trace of recovery

CAD (Current Account Deficit): Canada recorded a Current Account deficit of 17500 CAD millions in the Q1 of 2015 as reported by the Statistics Canada.

Canada PPI MoM: Producer Prices in Canada posted a massive decline at -0.9% which is way below consensus at -0.1%. It was increased to 110.60 index points in March of 2015 from 110.30 index points in February of 2015.

Glimpse on Technicals: (USD/CAD)

Oscillating indicators suggest a massive uptrend on this pair.

RSI (14) on weekly chart is trending at around 60 levels with positive convergence to the price line.

Stochastic on the time frame is signaling uptrend with %K line crossover. (%K trending around 62.7866 & while %D at 37.6210).

Pair is currently trading midway of Bollinger bands with upper one flash at 1.2866 and lower one at 1.1953.

So, we believe CAD (Current Account deficit) restrain CAD (C$) from its recovery.