USDCAD at Monthly Highs Bulls Need a Break Above 1.32
USDCAD continues higher for the third day in a row adding 0.03% at 1.3201. The pair tested earlier today the 100-day moving average at 1.3178 and managed to rebound. Also the pair got a boost from stronger durable goods order out of the U.S.. The December Durable Goods Orders came in at 2.4%, topping the expectations of 0.5%. The Durable Goods Orders ex Defense came in at -2.5% below the forecasts of 0.5%. While the ex-Transportation figure registered in at -0.1% below the estimates of 0.2%.
Canadian dollar getting help today by the crude oil price, as it is trading 0.05% higher 53.20. Investors will closely watch the Fed policy meeting and decision. Analysts expect that the Fed will keep interest rates unchanged.
USDCAD trades at fresh monthly highs as the rebound from the December lows at 1.2956 continues helped by upbeat U.S. economic data and the recent correction in crude oil prices. The technical outlook is neutral now as the pair breaks above the 50-day moving average while today makes an attempt to break above the 100-day moving average.
On the upside, initial resistance for USDCAD stands at 1.3205 the daily high. Next resistance will be met at 1.3233 the 200-day moving average. A break above will pave the way for a move up to 1.3297 the top from December 4th.
On the flip side, first support for the pair stands at 1.3178 the daily low. If the USDCAD pair breaks below that level the next support will be met at 1.3150 the 50-day moving average. More offers might emerge at 1.3116 the low from January 24th.