Menu

Search

  |   Technicals

Menu

  |   Technicals

Search

FxWirePro: USD/CAD bulls undeterred after BoC rate decision, eyes 23.6%fib resistance

• USD/CAD rose on Wednesday   after the Bank of Canada cut its key policy rate by a large 50 basis points to 3.75%

• The currency's reaction was limited as the decision was widely expected. At GMT 15:58 US dollar was up 0.19% at 1.3840 to the Canadian dollar.

•  The central bank, which hiked rates to a 20-year high to fight soaring prices, has now cut four times in a row since June. Inflation in September sank to 1.6%, below the 2% target.

•  Technical highlight upside risks for USD/CAD, with momentum studies, 5, 10 and 11 DMAs tracking north.

•  Immediate resistance is located at 1.3862(Daily high), any close above will push the pair towards 1.3875 (23.6%fib).

• Support is seen at 1.3816(5DMA) and break below could take the pair towards 1.3801 (50%fib).

Recommendation: Good to buy  around 1.3820, with stop loss of 1.3750,  and target price of 1.3880

  • Market Data
Close

Welcome to EconoTimes

Sign up for daily updates for the most important
stories unfolding in the global economy.