USD/CAD Forecast: Canadian dollar steady, U.S. jobless claims sparkles
|USD/CAD has ticked higher in the Thursday session,. Currently, the pair is trading at 1.3351, up 0.06% on the day. On the release front, there are no Canadian events for the remainder of the week. In the U.S., today’s key event was unemployment claims, which dropped to 199 thousand, beating expectations.
There was good news from the U.S. labor market, as unemployment claims dropped sharply, from 213 thousand to 199 thousand. This was the first time that the indicator dropped below the 200-thousand level since 1969. The four-week average, which is less volatile, dropped by 5.5 thousand to 215,000. The strong figures indicate that the employment picture remains bright, despite the ongoing U.S. government shutdown, which has resulted in the layoff of some 800,000 government workers.
With the global trade war showing no signs of easing, it is no surprise that growth forecasts for 2019 are heading south. On Tuesday, the International Monetary Fund lowered its global and eurozone growth forecasts. In October, the IMF projected global growth of 3.7% percent, but this has been revised to 3.5 percent. IMF head Christine Lagarde said that the world’s economy continues to expand, but “it is facing significantly higher risks”.
Aussie climbs as jobs data beats estimates
Euro area business growth close to stalling
USD/CAD Fundamentals
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8:30 US Unemployment Claims. Estimate 219K
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9:45 US Flash Manufacturing PMI. Estimate 53.5
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9:45 US Flash Services PMI. Estimate 54.0
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10:00 US CB Leading Index. Estimate -0.1%
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10:30 US Natural Gas Storage. Estimate -145B
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11:00 US Crude Oil Inventories. Estimate -0.2M
Open: 1.3343 High: 1.3369 Low: 1.3329 Close: 1.3351
USD/CAD Technical
|
S3 |
S2 |
S1 |
R1 |
R2 |
R3 |
|
1.3125 |
1.3200 |
1.3290 |
1.3383 |
1.3561 |
1.3552 |
USD/CAD ticked lower in the Asian session but recovered. The pair has posted small gains in European trade
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1.3290 is providing weak support
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1.3383 is the next resistance line
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Current range: 1.3290 to 1.3383
Further levels in both directions:
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Below: 1.3290, 1.3200, 1.3125 and 1.3049
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Above: 1.3383, 1.3461 and 1.3552
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