USD/CAD Fundamental Analysis: February 16, 2017
The USD/CAD pair continues to be subject to tremendous pressure, with the currency bulls doing their best to maintain their hold on the USD/CAD pair. The currency pair has been consistently on the brink of breaking through its critical support barrier for over weeks now, and forecasts have been saying that any breakthrough in this region would result to a major trend change for the currency pair.
The US released a string of important economic data yesterday which has significantly affected the value of the USD and injected volatility into the market. Both the CPI data and the retail sales data from the country were able to exceed market expectations, but then these positive data were overshadowed by a dismal wage data, and this caused the USD/CAD pair to temporarily break through 1.3100 points. However, as the market began to feel the effects of a weak wages data, a massive selloff in the USD started to occur and this put downward pressure on the USD/CAD, pushing it way below 1.3100. The currency pair is now trading just over its critical support barrier of 1.3060 points.
There are no major economic data scheduled to come out from both the US and Canada except for the unemployment claims data from the US. The USD/CAD pair is expected to remain within a limited range of 1.3000-1.3100 points.
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