- The Bank of Canada’s decision to end QE boosts CAD across the board.
- USD / CAD falls towards 1.2300, falling over a hundred pips from the highs.
The USD / CAD it fell sharply following the Bank of Canada (BoC) announcement to end QE. The loonie skyrocketed across the board becoming the best performer
The BoC decided to keep interest rates unchanged as expected. Market consensus was considering a reduction in QE to around C $ 1 trillion per week from C $ 2 trillion and instead the central bank decided to end purchases. In a few minutes, BoC Governor Macklem will hold a press conference.
The larger-than-expected adjustment of the BoC also caused a rebound in US yields.
USD / CAD fell from 1.2410 to 1.2312 after the release hit the lowest level since Thursday. The pair remains close to the lows. A break below 1.2320 (Oct 22 low) will clear the way for a test of 1.2300. Earlier on Wednesday, USD / CAD is trading at 1.2430, the highest level in two weeks.
Technical levels
USD / CAD
| Panorama | |
|---|---|
| Today’s Last Price | 1.2334 |
| Today’s Daily Change | -0.0056 |
| Today’s Daily Change% | -0.45 |
| Today’s Daily Opening | 1.239 |
| Trends | |
|---|---|
| SMA of 20 Daily | 1.2478 |
| SMA of 50 Daily | 1.2592 |
| SMA of 100 Daily | 1.252 |
| 200 SMA Daily | 1.2495 |
| Levels | |
|---|---|
| Daily Previous Maximum | 1.2397 |
| Daily Previous Minimum | 1.235 |
| Weekly Preview Maximum | 1.241 |
| Weekly Prior Minimum | 1.2288 |
| Monthly Previous Maximum | 1.2896 |
| Minimum Previous Monthly | 1.2494 |
| Daily Fibonacci 38.2% | 1.2379 |
| Daily Fibonacci 61.8% | 1.2368 |
| Daily Pivot Point S1 | 1.2361 |
| Daily Pivot Point S2 | 1.2333 |
| Daily Pivot Point S3 | 1.2315 |
| Daily Pivot Point R1 | 1.2408 |
| Daily Pivot Point R2 | 1.2425 |
| Daily Pivot Point R3 | 1.2454 |
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