Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

During yesterday’s trading session USD/CAD traded within the range of 1.0811-1.0837 and closed at 1.0818.

At 11:15 GMT today USD/CAD was gaining 0.01% for the day to trade at 1.0819. The pair touched a daily high at 1.0826 at 9:10 GMT.

Fundamental view

Retail sales in Canada probably rose 0.6% in April from a month ago, when they registered an unexpected 0.1% drop , according to the median analysts’ estimate.

At the same time, retail sales excluding autos in Canada probably jumped by 0.4% in April, following a 0.1% gain in the previous month, according to the median forecast by experts.

The index presents the changes in the total value of retail sales without the cars, whose sales account for about 20% of the total. They are excluded due to their high volatility, which can significantly affect the overall trend. Data without car sales is considered to be more representative and determines the direction of development of the indicator more precisely. This is the percentage change from the previous month.

Statistics Canada will release official data at 12:30 GMT. Higher-than-expected gains will certainly provide support to loonie’s demand.

In addition, the Consumer Price Index (CPI) in Canada probably jumped 2.0% in May, compared to the same period a year ago, according to the median analysts’ estimate. In April, consumer prices rose 2.0%.

At the same time, the core CPI probably advanced by 1.5% in the previous month from a year ago, after a 1.4% gain in April, according to the median forecast by experts.

The Core Consumer Price Index differs from the basic CPI measure as it doesn’t take into account the indirect taxes and eight most volatile components identified by the Bank of Canada- fruit, fruit and nuts; mortgage costs, natural gas and other fuels, oils and other lubricants, public transport, tobacco products and supplies. This is the percentage change compared to the same month a year earlier.

Statistics Canada will publish its monthly report at 12:30 GMT today. Higher-than-expected readings will certainly heighten the loonie’s appeal.

Technical view

Screenshot from 2014-06-20 14:19:37

According to Binary Tribune’s daily analysis, in case USD/CAD manages to breach the first resistance level at 1.0833, it will probably continue up to test 1.0848. In case the second key resistance is broken, the pair will probably attempt to advance to 1.0859.

If USD/CAD manages to breach the first key support at 1.0807, it will probably continue to slide and test 1.0796. With this second key support broken, the movement to the downside will probably continue to 1.0781.

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News

  • Forex Market: USD/CAD daily trading outlookForex Market: USD/CAD daily trading outlook Yesterday’s trade saw USD/CAD within the range of 1.2560-1.2384. The pair closed 0.30% higher at 1.2543 after it gained 0.22% the prior session and is up 0.57% for the week so far.At 7:11 GMT today USD/CAD was up 0.06% for the day at […]
  • Gold erases earlier gains on stronger dollarGold erases earlier gains on stronger dollar Gold erased previous gains during the day as concerns over financial problems in Greece and Portugal and political tension in Italy weighed on the Euro, which strengthened the dollar.On the Comex division of the New York Mercantile […]
  • Deutsche Bank AG’s share price down, sells 60 million shares to the Qatari royal familyDeutsche Bank AG’s share price down, sells 60 million shares to the Qatari royal family The biggest bank in Germany – Deutsche Bank AG made an official statement, revealing that about 60 million if its shares were sold to the Qatari royal family. The bank has set a goal of raising 8 billion euros (11 billion dollars) in its […]
  • Sweden’s services sector shrinks in SeptemberSweden’s services sector shrinks in September Sweden’s services sector has contracted in September, the latest data by Swedbank showed.The Services Purchasing Managers’ Index was reported at a reading of 49.1 in September, down from a revised down 52.4 in August.It pointed to […]
  • USD/JPY poised for a third consecutive annual gain on the back of Fed speculationUSD/JPY poised for a third consecutive annual gain on the back of Fed speculation US dollar was set to register a third year of gains in a row against the Japanese yen, driven by speculations that the Federal Reserve Bank will probably introduce a rate hike in 2015, while the Bank of Japan will probably ease policy […]
  • Chevron share price up, to sell 50% Caltex stakeChevron share price up, to sell 50% Caltex stake Chevron announced on Friday that is aiming to sell its stake in Australias fuel company Caltex as the U.S. energy group slashes non-core assets in the wake of low oil prices.The company is looking to sell 135 million Caltex Australia […]