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21 Aug 2015
USD/CAD reverses and rises back above 1.3100
FXStreet (Córdoba) - USD/CAD was testing an important short-term support located around 1.3050/60 but after Wall Street opening bell turned to the upside and recently printed a fresh daily high at 1.3143. Currently it trades at 1.3115/20, up 40 pips from yesterday’s closing price.
The pair gained momentum as crude oil erased modest gains and amid a weak loonie, that is the worst performing among commodity currencies. As the price of the barrel heads to test daily lows, USD/CAD remains near the highs of the day but still under the 1.3180 area, were weekly highs lies.
Economic data form Canada and the US
Earlier, the Canadian retail sales report in showed an increased in June of 0.6% surpassing estimates for a 0.2% advance while the CPI index remained at 1.3% from a year ago in July (slightly below the 1.4% expected). In the US, the preliminary reading of the Markit Manufacturing PMI for August showed a decline from 53.8 to 52.9, surprising analysts that were expecting an increase.
The pair gained momentum as crude oil erased modest gains and amid a weak loonie, that is the worst performing among commodity currencies. As the price of the barrel heads to test daily lows, USD/CAD remains near the highs of the day but still under the 1.3180 area, were weekly highs lies.
Economic data form Canada and the US
Earlier, the Canadian retail sales report in showed an increased in June of 0.6% surpassing estimates for a 0.2% advance while the CPI index remained at 1.3% from a year ago in July (slightly below the 1.4% expected). In the US, the preliminary reading of the Markit Manufacturing PMI for August showed a decline from 53.8 to 52.9, surprising analysts that were expecting an increase.