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USD/CAD eases from 1.2280

FXStreet (Edinburgh) - The US dollar is deflating from session highs vs. its Canadian peer on Tuesday, sending USD/CAD to the area of 1.2230.

USD/CAD supported at 1.2100

The pair managed to rebound from last week’s pullback to levels just below the 1.2100 handle following the speech by Governor S.Poloz, although the recovery seems to have run out of legs around 1.2280 posted in early trade.

Ahead in the week, there are no scheduled releases in Canada, whereas US housing sector, Markit’s manufacturing PMI and Durable Goods Orders will take centre stage in the US docket.

USD/CAD significant levels

At the moment the pair is up 0.13% at 1.2239 with the next hurdle at 1.2282 (high Apr.21) followed by 1.2300 (psychological level) and then 1.2328 (high Apr.16). On the flip side, a breakdown of 1.2180 (low Apr.20) would aim for 1.2100 (psychological level) and then 1.2087 (low Apr.17).

Credit Agricole: Fed still suppressing FX Vols - eFXnews

According to Strategists at Credit Agricole, the current scenario of volatility being sold will shift and EUR/USD will come under pressure after markets as a expected October hike by Fed nears, as noted by eFXnews.
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UK election could bring back bouts of volatility – Danske Bank

Chief Analyst Arne Rasmussen at Danske Bank expects the sterling to be under increasing downside pressure ahead of the elections due on May 7th...
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