The USDCAD is moving higher in trading today on the back of lower CPI data out of Canada. That is running counter to the overall US dollar trend today which is to the downside.
Canada’s CPI month-to-month came in at 0.0% versus 0.4% expected. The year-on-year measure fell to 2.9% from 3.4% last month (and lower than the 3.3% expectation). Other measures within the report were lower as well.
Technically, the price has moved back up to a swing area between 1.3526 and 1.35428. The 50% midpoint of the move down from the October high comes in at 1.35378.
So far sellers are leaning against the swing area. There is a support down at 1.3493 followed by the 100 bar moving average on the four hour chart at 1.3470.
On the top side, a break of 1.354281 would have traders targeting the 100-day moving average of 1.3555.
This article was written by Greg Michalowski at www.forexlive.com. Source