USDCAD Analysis
| Performance after Monday | |||||
| Period | Pct | Chg | Momentum | ||
| Monday | 0.57% | 81.6 Pips |  |
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| Week to-date | -0.07% | -10 Pips |  |
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| March | -1.09% | -157 Pips | |
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Upcoming key events (London Time)
No major events for the day.
What happened lately
The Chicago Purchasing Managers’ Index (PMI) in the United States showed a positive movement in March, increasing to 47.6 points from February’s 45.5. Although the index remains below the 50-point mark, which separates contraction from expansion, the rise indicates a slowing contraction in the manufacturing sector. An increase in the PMI suggests that business conditions are gradually improving, possibly due to easing supply chain disruptions or better consumer demand. This improvement, albeit modest, can be seen as a sign of optimism for the economic outlook, providing some support for future growth expectations.
The USDCAD exchange rate experienced some volatility as it rose by 0.57% to 1.43923 on the last trading day of March but ended the month down by 1.09%, or 157 pips lower overall. The negative monthly movement suggests that the Canadian dollar showed relative strength against the U.S. dollar despite the day’s rise. The improvement in the U.S. PMI could contribute to a potential recovery or stabilization of the exchange rate, as a healthier U.S. economy generally supports the dollar. However, the absence of major economic events or data releases for the day implies that market movements may be driven more by general market sentiment and external factors than immediate economic triggers.
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What can we expect from USDCAD today?
USDCAD on Monday rose 0.57% to 1.43923. Price is below 9-Day EMA while Stochastic is rising.
Updated daily direction for USDCAD looks bullish as the pair ended higher after Monday trading session.
Looking ahead for the day, immediate upside resistance level is R1 at 1.44299 with break above could target R2 at 1.44674 or figure level area. While towards the downside, we are looking at daily low of 1.42950 as an important support. Break below this level could weaken the current bullish momentum. A break above 1.44000 may suggest continuation after recent positive movement.
For the week to-date, take note that USDCAD is mixed as compared to the prior week.
USDCAD ended month of March trading session down by -1.09% or -157 pips lower.
Key levels to watch out:
| R3 | 1.45349 |
| R2 | 1.44674 |
| R1 | 1.44299 |
| Daily Pivot | 1.43624 |
| S1 | 1.43249 |
| S2 | 1.42574 |
| S3 | 1.42199 |
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