FXStreet (Edinburgh) – The Canadian dollar is now picking up further pace vs. its American counterpart, relegating USD/CAD to challenge 2-day lows in the 1.3380/70 band.
USD/CAD weaker ahead of Yellen’s speech
The pair is extending its correction lower from fresh cycle highs near 1.3460 posted at the end of the NA session on Tuesday. The downtrend has now accelerated in spite of the solid bid tone around USD, albeit positive GDP figures in Canada during July and today’s recovery in crude oil prices keep lending some support to CAD.
The current downside in spot will be put to the test however, as Chief Janet Yellen is due to speak later in the US session at the ‘Third Annual Community Banking Research and Policy Conference’.
USD/CAD levels to consider
At the moment the pair is now losing 0.28% at 1.3383 and a break below 1.3374 (low Sep.30) would open the door to 1.3303 (low Sep.25) and finally 1.3233 (low Sep.23). On the upside, the initial hurdle lines up at 1.3457 (high Sep.29) followed by 1.3495 (high Jun.29 2004) and then 1.3500 (psychological level).
(Market News Provided by FXstreet)