USD/CAD – Headed Back Towards 1.3950/1.40 Support, 1.4170-1.4200 Resists

The Dollar slipped against the Canadian Loonie to 1.4010 in late New York from 1.4030 on Friday as risk appetite increased and stocks climbed. Trading was more subdued on Friday than in the past 2 weeks which saw some big swings in the Loonie. The US Dollar started grinded lower in the last two sessions after its failure to rally past the 1.4200 barrier (1.41823). Prior to that, the USD/CAD pair slumped to 1.3855 (14 April).

FX Street USDCAD Intraday Chart - 20 April 2020
FX Street USDCAD Intraday Chart – 20 April 2020

USD/CAD has immediate support at 1.4000 and 1.3980 and 1.3950. Strong support can be found at 1.3930 and 1.3870. Immediate resistance lies at 1.4050, 1.4080 and 1.4120. The big resistance level in USD/CAD lies at 1.4200, followed by 1.4250.

Canadian data out this week starts off with today’s Wholesale Sales report which is secondary. Tomorrow, Canada reports its Headline and Core Retail Sales. Wednesdays sees more crucial Headline and Core, Trimmed CPI. Expect the USD/CAD pair to be dictated more by its Canada’s bigger southern neighbour. Look for a likely range today of 1.3985-1.4125. Prefer to buy dips.


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