USDCAD Overnight Range 1.3842-1.3977
USDCAD climbed steadily in early New York trading on the back of falling oil prices. Oil prices declined on news that even though the Venezuelan Oil Minister had a chat with the Saudi oil minister, there wasn’t an announcement of an emergency Opec meeting. WTI touched $29.57 coinciding with the USDCAD peak of 1.3977. WTI has since recovered back above $30.00 and USDCAD retreated.
Viewers went gaga for Lady Gaga and the Carolina Panthers just gagged as Super Bowl 50 delivered as much excitement as the overnight FX markets which is to say, none. Even Beyoncé’s demonstration of a woman in a onesie being electrocuted wasn’t enough to turn the tedium into tension. That also describes the Asia FX markets, most of which were closed, to celebrate Chinese New Year.
There isn’t any economic data of note from the US or Canada leaving equity market and oil price moves to dictate direction. Traders may be content to stay on the sidelines until after Janet Yellen’s Humphrey Hawkins testimony on Wednesday.
USDCAD technical outlook
The intraday USDCAD technicals are bullish while trading above 1.3830 and guarded by the break above 1.3920 which suggests a test of the two week downtrend line that comes into play at 1.3980-1.4000. A move above this level would extend gains to 1.4120. A move below 1.3920 suggests a deeper retreat to 1.3860 For today, USDCAD support is at 1.3920 and 1.3880. Resistance is at 1.3980 and 1.4020
Forecast Range for the day 1.3920-1.4000
Chart USDCAD 4 hour