Forex Analysis usd to cad 24 Aug 2009
Forex Technical Analysis
The usd to cad continued to move lower in the forex trading session today, but given the lack of fundamental news and thin trading volumes, lacked any conviction in the move, and indeed the market would seem to be ‘tired’, and lacking momentum. Given that we have now seen five consecutive down days, and coupled with the fact that the move lower ran out of steam at this level last time, it would be no great surprise to see a bounce higher in the next few days from this trading level as the market exerts a short squeeze. This technical view is reinforced by the fact that today’s price action has found some support at the 1.078 price level, where the usd to cad pair bounced back in early June. Any crossing of he moving averages in such a bounce would suggest a longer term rally rather than a short term pullback.
Fundamental Forex Analysis
The only fundamental news item tomorrow on the economic calendar for Canada is a speech by Bank of Canada deputy Governor Timothy Lane, who is due to deliver a speech entitled “The Canadian Economy Beyond the Recession” at the Canadian Association for Business Economics, in Kingston. As always his words will be analysed for any clues as to the future policy for interest rates and monetary policy in the next few months from the BOC. The other main news item for the pair is the CB Consumer confidence index, released earlier in the US, and I have covered these and other fundamental news items in more detail on the euro to dollar site.
You can keep up to date with all the latest fundamental news on the economic calendar, latest currency news and live currency charts by simply following the links. I have also included details on an excellent ECN broker.
