USD/CAD upside struggled near 1.3500, CPI eyed

After climbing to fresh highs near 1.3500 the figure late on Thursday, USD/CAD met some selling pressure and has now returned to the 1.3465/60 band.

USD/CAD attention to CPI results

The pair is retreating for the second consecutive session so far today ahead of Canadian inflation figures due later in the NA session. Prior surveys expect consumer prices to have risen at an annualized 1.8%.

Spot lost upside momentum after briefly testing fresh 5-week tops around the 1.3500 handle during Thursday’s session.

The correction lower has emerged despite positive comments by S.Mnuchin yesterday, while rising yields in both US and Canadian money markets (particularly in the shorter end of the curve) should render occasional pullbacks as shallow.

On the US data front, Existing Home Sales and advanced Markit’s Manufacturing PMI are also due.

USD/CAD significant levels

As of writing the pair is losing 0.03% at 1.3466 and a breakdown of 1.3454 (low Apr.20) would open the door to 1.3402 (23.6% Fibo of the January-March up move) and finally 1.3373 (20-day sma). On the upside, the next hurdle is placed at 1.3501 (high Apr.20) seconded by 1.3536 (2017 high Mar.9) and then 1.3601 (high Dec.28 2016).

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these securities. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Forex involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.