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28 Jan 2015
USD/CAD gains capped by 5-DMA
FXStreet (Mumbai) - The US dollar bounced-back against the Canadian counterpart, having retreated from six-year highs in the previous session as all eye are now set on the upcoming Fed event.
Currently, the USD/CAD pair traded higher by 0.29% at 1.2432, recovering from intraday lows at 1.2395 levels hit earlier in the session. The USD/CAD pair may remain elevated as traders expect a more cautionary approach coming out of the upcoming Fed statement later today. The US dollar index, which measures the relative strength of the greenback against a basket of six major currencies, rallied to fresh session highs and now trades at 94.43, up 0.18% on the day.
The loonie strengthened yesterday following several sharp losses in the past five sessions as traders digested mixed bag of US data.
USD/CAD Technical Levels
To the upside, the next resistance is located at 1.2440 (5-DMA) levels and above which it could extend gains 1.2500 levels. To the downside immediate support might be located at 1.2380 levels, below that at 1.2356 levels.
Currently, the USD/CAD pair traded higher by 0.29% at 1.2432, recovering from intraday lows at 1.2395 levels hit earlier in the session. The USD/CAD pair may remain elevated as traders expect a more cautionary approach coming out of the upcoming Fed statement later today. The US dollar index, which measures the relative strength of the greenback against a basket of six major currencies, rallied to fresh session highs and now trades at 94.43, up 0.18% on the day.
The loonie strengthened yesterday following several sharp losses in the past five sessions as traders digested mixed bag of US data.
USD/CAD Technical Levels
To the upside, the next resistance is located at 1.2440 (5-DMA) levels and above which it could extend gains 1.2500 levels. To the downside immediate support might be located at 1.2380 levels, below that at 1.2356 levels.