USD/CAD (current price: 1.3240)
The pair rose back above 1.32 once again following a string of bearish sessions, as the Canadian Dollar was pushed lower by the strong negative intraday trend in the price of oil. Wednesday’s Bank of Canada meeting still weighed on the currency as well, with the better than expected U.S. Philly Fed Manufacturing Index and Existing Home Sales also helping the broad U.S. Dollar rally. The weekly number of Initial Unemployment Claims was slightly higher than expected, but that didn’t change the underlying trend.
Our assessment: The pair is close to the upper boundary of the long-term neutral trading range, but the 1.3285 resistance level proved too strong for the pair several times, and the still relatively strong oil continues to favor CAD.
