USDCAD Overnight Range 1.3242-1.3279
USDCAD traded sideways in another quiet overnight session as holidays and a lack of major US data leave currencies in narrow ranges.
It wasn’t a complete write-off. China posted decent Retail Sales data (10.6%, YTD,y/y) which had little effect on FX. However,dovish comments from a Bank of Japan board member led to USDJPY sales.
The UK was the star of the show in Europe. UK employment grew by 117k in the 3 months to September. Economists and strategists viewed the report as “on the soft side”. Apparently GBPUSD traders didn’t get the memo. Initial selling became buying and sterling is up .0030 points.
It is Remembrance Day in Canada and Veterans Day in the USA. It is also a bank holiday. Equity and Fixed Income markets are closed in Canada. FX markets are open but most desks will operate with minimal staff, which means it will be a very quiet day.
USDCAD technical outlook
There is no change in the technical view for USDCAD from yesterday. USDCAD is currently consolidating near the top of a “bullish flag” pattern bound by 1.3230 and 1.3290 which suggests further upside ahead. The short term setup is bullish above 1.3130.
Forecast Range for the day 1.3240-1.3290
Chart USDCAD 4 hour