dollar Canadian dollar October 8, 2010
dollar Canadian dollar to consolidate with risks skewed higher before 1100 GMT Canada September labor force survey, 1230 GMT U.S. non-farm payrolls report. Pair underpinned by decreased investor risk appetite, softer commodity & oil prices (Nymex crude settled down $1.56 yesterday at $81.67/bbl), positions adjustment before weekend, IMF & G7 meetings. But dollar Canadian dollar topside limited by expectations of more QE measures from U.S. Federal Reserve. Other data focus: 1215 GMT Canada September housing starts. USD/CAD daily chart mixed as MACD bearish, but stochastics turned bullish at oversold. Resistance at 1.0212 (yesterday''''s high); breach would expose upside to 1.0272 (Tuesday''''s high), then 1.0313 (Oct. 1 high), 1.0346 (Sept. 30 high, near confluence of 55-day & 200-day moving averages) and 1.0361 (Sept. 28 high). Support at 1.0070 (yesterday''''s low), then at 1.0058 (Wednesday''''s low); breach would tilt near-term outlook toward negative, targeting 1.0010 (April 29 low), then 0.9926 (April 21 low), 0.9816 (May 21, 2008 reaction low) and 0.9708 (Feb. 28, 2008 reaction low).