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3 Apr 2013
Forex: USD/CAD down on US session
FXstreet.com (Barcelona) - With the upside limited by resistance at 1.0150 area, the USD/CAD is down on the day, and after an upside attempt on the release of US ADP data being capped again by the same resistance, the cross returned to its lows at 1.0135 zone, where it stands as of writing and pushes lower.
The US ADP employment was expected to rise from 198K to 200K in March, but February data was revised much higher, to 237K, and the March figure disappointed at 158K. The US ISM non-manufacturing PMI is next, with a slight drop from 56.0 to 55.8 expected.
“On the charts, the short-term trend is lower”, wrote TD Securities analysts Shaun Osborne and Greg Moore. “The USD/CAD is pressuring retracement support at 1.0134 but key supports higher up (now resistance at 1.0165/85) yielded and their loss suggests an extended move lower still has to play out in the short run”, they added, favoring selling rallies and targeting a drop to nearer par.
The US ADP employment was expected to rise from 198K to 200K in March, but February data was revised much higher, to 237K, and the March figure disappointed at 158K. The US ISM non-manufacturing PMI is next, with a slight drop from 56.0 to 55.8 expected.
“On the charts, the short-term trend is lower”, wrote TD Securities analysts Shaun Osborne and Greg Moore. “The USD/CAD is pressuring retracement support at 1.0134 but key supports higher up (now resistance at 1.0165/85) yielded and their loss suggests an extended move lower still has to play out in the short run”, they added, favoring selling rallies and targeting a drop to nearer par.