USDCAD Overnight Range 1.2525-1.2620

USDCAD started the New York session with a bid tone but attempts to extend gains through minor resistance at 1.2620 were thwarted and the dollar retreated back to intraday support at 1.2570. In addition to the short term bullish shift to the technicals,USDCAD is supported by the prospects of a hawkish sounding Janet Yellen speech and a dovish cooing Stephen Poloz speech, both on Tuesday. A drop in WTI prices to $49.09/bbl is the icing on the cake.

Overnight, Asian markets were quiet but that was not the case in Europe.EURUSD started sinking with Greece concerns dominating. Did Greece blink? If so, how long will Alexis Tsipras’s government last? The German IFO was softer than expected which added to the negative EURUSD tone.Greek headlines will continue to be this week’s European market focus

USDCAD technical Outlook

The short term technicals are bullish following the break of intraday resistance in the 1.2550-70 area looking for a break of resistance in the 1.2615-20 area to extend gains toward 1.2800. A move below 1.2540 argues for a retest of 1.2490.

Today’s Range 1.2570-1.2820