Forex Market: USD/CAD daily forecast

During yesterday’s trading session USD/CAD traded within the range of 1.0962-1.1010 and closed at 1.0977.

At 9:41 GMT today USD/CAD was losing 0.36% for the day to trade at 1.0933. The pair breached the first and the second key daily supports and touched a daily low at 1.0925 at 8:45 GMT.

Fundamental view

Annualized number of housing starts in Canada probably decreased to 192 000 in March from 192 094 in February. Housing starts are considered as a key indicator, reflecting nations housing sector resilience. In case the number of housing starts increased more than expected, this would provide support to the loonie. Canadas Mortgage and Housing Corporation will release the official numbers at 13:15 GMT.

The number of building permits in the country probably declined 2.0% in February compared to a month ago, according to the median estimate by experts. In January permits issued by the government were 8.5% more. Building permits, as an indicator, provide information regarding demand in Canadas housing market. A higher than anticipated number would be supportive for the Canadian dollar. Statistics Canada is to release its monthly report at 13:30 GMT.

Technical view

According to Binary Tribune’s daily analysis, in case USD/CAD manages to breach the first resistance level at 1.1004, it will probably continue up to test 1.1031. In case the second key resistance is broken, the pair will probably attempt to advance to 1.1052.

If USD/CAD manages to breach the first key support at 1.0956, it will probably continue to slide and test 1.0935. With this second key support broken, the movement to the downside will probably continue to 1.0911.