Since the beginning of June, the Canadian dollar has experienced a very strong move from 1.045 down below 1. This movement lower starting back in June coincided with the Australian dollar’s push higher however the Australian dollar has since been found wanting as it has clearly reversed. The Canadian dollar however has continued its surge lower moving comfortably through 1 to its present trading levels around 0.99.
Over the course of the last couple of days, it has bounced strongly off the support level at 0.9850 and returned back above 0.99.  Over the short term, the 0.9850 level has been providing reasonable support and is likely to continue to do so. The more medium term key support level is at 0.98. (Daily chart below)
daily chart
USD/CAD |
  Sep 6 at 02:15 GMT |
| 0.9907/10 | Â Â H: 0.9918 | Â Â L: 0.9860 |
| S3 | S2 | S1 | R1 | R2 | R3 |
| 0.9850 | 0.9800 | 0.9400 | 0.9950 | 1.0000 | — |
USD/CAD Technical
- During the early hours of the Asian trading session on Thursday, the Canadian dollar has done little as it has traded within a narrow range between 0.99 and 0.9910.
- Over the last couple of weeks, the 0.9850 level has demonstrated it is a solid support level, and during this time, the peaks have been decreasing.
- The 0.98 level is also likely to offer support over the medium term.
- Current range: trading between support at 0.9850 and present levels around 0.99.
Further levels in both directions:
- Below: 0.9850, 0.9800, and 0.9400.
- Above: 0.9950 and 1.0000.
- Should the Canadian dollar be able to push through support at 0.9850 and 0.9800, then lower prices should be expected.
September 6
- AU 1:30 (GMT) Employment (Aug)
- EU 9:00 (GMT) GDP (2nd Est.) (Q2)
- GR 9:00 (GMT) Unemployment (Jun)
- EU 11:45 (GMT) ECB – Interest Rate (Sep)
- US 12:15 (GMT) ADP Employment Survey (Aug)
- US 14:00 (GMT) ISM Non-Manufacturing (Aug)
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