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USDCAD
USDCAD

USDCAD Jumps to Daily High after BOC Keeps Rates Unchanged

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Nikolas Papas Forex Analyst
    Summary:
  • USDCAD trades 0.49% higher at 1.3149, hitting the daily high after the Bank of Canada held interest rates unchanged at 1.75% as widely expected by markets

USDCAD trades 0.49% higher at 1.3149, hitting the daily high after the Bank of Canada held interest rates unchanged at 1.75% as widely expected by markets. The United States Gross Domestic Product Price Index came in at 1.6%, below forecasts of 1.9% in 3Q, 2019. On a yearly basis, the GDP increased 1.9% topping the market expectations of 1.7%. The ADP Non-Farm Payrolls came in at 125,000 for private-sector hiring in October, beating expectations of 120,000.

Investors expect that the Fed will proceed with one more cut by 25 basis points later today

USDCAD Technical Levels

USDCAD momentum is bearish despite the sharp rebound after the BoC interest rate decision. The pair trades below all major daily moving averages. On the upside, immediate resistance stands at 1.3153 the daily high, then at 1.3203 the 100-day moving average, while more offers will emerge at 1.3211 the high from October 17th.

On the downside where traders had shifted their attention now, USDCAD first support stands at 1.3073 the daily low, a break below might drive prices down to 1.3015 the low from July 14th.