Weak US Durable Goods Orders Drag USD/CAD Lower
Following the release of US durable goods orders data, the USD/CAD pair resumed its downward trajectory, dropping below 1.2650 mark to currently trade near 1.2635.
US
durable goods orders for the month of March came-in at 0.8% vs
expectation of 1.9%. The core numbers, which excludes transportation
items was worse at -0.2% against the expected growth of 0.6%. Softer
numbers dragged the USD/CAD pair to 1.2625.
Technical levels to watch
From
current levels, last week's low of 1.2593 would be eyed to extend
immediate support. Should the pair fail to rebound from this immediate
support, it might turn vulnerable to continue sliding further towards
its next support near 1.2550-45 area.
Meanwhile on the upside,
above 1.2650 the pair need to gain momentum beyond 1.2700 round figure
mark to stage some minor recovery towards 1.2750-60 horizontal
resistance. Strength above 1.2750 level now seems to pave way for
additional near-term recovery towards 1.2835-40 resistance zone.
