USDCAD on Wednesday dropped -0.34% to 1.31850. What we know.

USDCAD Analysis

Performance after Wednesday
Wednesday-0.34%-45.2 Pips
Week to-date-0.65%-86 Pips
July-0.44%-58.6 Pips

Upcoming key events (London Time)

Thu 01:30 PM USD Producer Price Index excluding Food and Energy sectors (12-mth)
Fri 03:00 PM USD Michigan Index of Consumer Sentiment

What happened lately

🇨🇦 Canada Bank of Canada Policy Interest Rate rose to 5% compared to previous rate 4.75% Bank of Canada
🇺🇸 U.S. CPI Inflation Rate excluding Food and Energy sectors (1-mth) in June below forecast and dropped to 0.2% compared to previous figure 0.4% in May Bureau of Labor Statistics

USDCAD 4-hour Chart by TradingView

What can we expect from USDCAD today?

USDCAD on Wednesday dropped -0.34% to 1.31850. Price is below 9-Day EMA while Stochastic is falling.

Updated daily direction for USDCAD looks bearish as the pair posted lower in Wednesday trading session.

Looking ahead for the day, immediate support level is at S1 1.31381 with break below could see further selling pressure towards S2 at 1.30911. To the upside, with the current momentum bearish, we prefer to look at breakout of the recent daily high of 1.32338 as a potential indicator of buying interest. Failure to break the resistance level would continue to echo bearish sentiment. A close below 1.31390 would indicate selling pressure.

For the week to-date, take note that USDCAD is bearish as the pair posted lower by -0.65%.

Key levels to watch out:

Daily Pivot1.31859

You might be interested in:

Monetary Policy Report – July 2023. Bank of Canada
Bank of Canada raises policy rate 25 basis points, continues quantitative tightening. Bank of Canada
Monthly Wholesale Trade: Sales and Inventories. Census Bureau
New Foreign Direct Investment in the United States, 2022. Bureau of Economic Analysis
Building permits, May 2023. Statistics Canada

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