FXstreet.com (Barcelona) - The Loonie remained mute after the release of the inflation figures during December in the Canadian economy. Prices rose 0.8%, matching November’s print although missing expectations at +1.2%. On a yearly basis prices contracted 0.6% vs. -0.2% previous and forecasted. BoC Core prices also rose 1.1% over the last twelve years, missing estimates at +1.4%.
The weakness in CAD continues to drive USD/CAD higher, as the dovish statement from BoC M.Carney last Tuesday still weights.
The cross is up 0.50% at 1.0077 facing the next resistance at 1.0085 (high Aug.2) followed by 1.0132 (low Jul.23).
On the flip side, a deeper pullback towards 1.0019 (Upper Bollinger) would clear the way to 0.9985 (MA200d) and then 0.9904 (low Jan.23).