The CAD is the strongest. The NZD is the weakest.
As North American traders enter for the day, the CAD is the strongest currency while the NZD is the weakest.
The USDCAD has been on a move higher over since June 12 when BOC Wilkins hinted of more hawkish policy from the BOC. Yesterday the pair dipped below trend line support but rebounded into the close. Today, the selling has been more pronounced (see chart below). The price has also moved below the 50% retracement of the move up from the end of April 2016 low. The 1.2969 is the low for the year. Other swing lows come in up to 1.2996. That area is the next downside target over time.
The USDCAD is one of the largest % changers today (-0.83% - see chart above). The pip range is 123 pips (see chart below) which is well above the 86 pip average trading range over the last 22 days (about a month of trading). The other major currencies against the USD have low to high trading ranges that are below their 22-day averages. There is room to roam and extend those ranges in trading today. In fact, the GBPUSD is making new highs and extending the range as I type (up to 52 pip range). That pair is stretching toward the spike higher in yesterday's trading (at 1.2860 - the high has made it to 1.2849 so far).
In other markets this morning:
- Spot gold is up another $5.60 today (it was up yesterday) or 0.46% to $1252.94
- WTI crude oil is down -$0.15 or -0.36% to 44.08
- US treasury yields are higher again. The 2 year is at 1.3652%, unchanged. 5 year is at 1.837%, up 2.5 bp. 10 year 2.2314%, up 2.6 bp. 30 year 2.778%, up 2.6 bp. The European 10 year yields are mixed after yesterday's sharp run up . Germany, unchanged. France unchanged. Italy -2 bp. Portugal -6 bp. UK +3 bp
- US premarket stock indices are up a touch. S&P up 5 points. Nasdaq was lower by -18 points but is up 5 points now. Dow is up 37 points.
