ANALYSIS
NQ100 Finds Support from PPIApr 14
USDCAD Parity Breaks the Wedge
The parity regressed a little due to the fact that the Bank of Canada (BoC) increased interest rates by 50 basis points at its monetary policy meeting at the end of October and the dollar fell after the NFP report in the USA. However, on the fourth trading day of the week, it is seen that the parity is on the way to recovery again, with the hawkish verbal guidance from the FED wing that all tools will be used to bring inflation back to the 2% target. As a matter of fact, the US 10-year bond yields also recovered up to 4.11% during the day. Technically, if the 1.3580 resistance in USDCAD parity, which is heading towards the retracement path with the completion of the descending wedge formation, can be overcome with pressure, the upward steps can be reached up to the 1.3645 level, which is indicated by the Fibonacci 61.8% retracement line. In the possible downward movements, 1.3485 and then 1.3440 supports can be attached to our radar.
