USD/CAD Tumbles to 1.2660 on Data
The Canadian dollar has recovered the smile today, now sending USD/CAD to post fresh session lows in the 1.2660 area.
USD/CAD lower on upbeat releases
Spot
picked up downside pressure following a bout of buying interest in CAD
in response of auspicious results from today’s Canadian docket,
reverting the initial USD-led upside to the 1.2760 region.
In
fact, inflation figures tracked by the CPI have come in higher than
expected, with headline consumer prices rising 1.3% on a year to March
and Core prices up 2.1% YoY.
Further data showed Canadian Retail
Sales expanding at a monthly pace of 0.4% vs. a 0.8% drop initially
forecasted. Sales excluding the Auto sector have followed suit, up 0.2%.
USD/CAD significant levels
As
of writing the pair is losing 0.51% at 1.2668 and a breakdown of 1.2590
(2016 low Apr.20) would aim for 1.2124 (monthly low Jun.24 2015) and
finally 1.1916 (monthly low May 14 2015). On the other hand, the next
resistance lines up at 1.2920 (20-day sma) ahead of 1.3219 (high Apr.5)
and then 1.3275 (55-day sma).
