- July 3, 2021
- Posted by: Stratford Team
- Category: Economy
The USD/CAD tumbled on Friday, dropping more than a big-figure following the U.S. employment report. While the headline NFP figures were stronger than expected, the unemployment rate rose, and average hourly earnings exceeded expectations. U.S. yields dropped with the 10-year falling 3-basis points and the 2-year falling 2-basis points. This move put downward pressure on the greenback paving the was for a lower exchange rate. The U.S. unemployment rate rose more than expected, climbing to 5.9% from 5.6%. This rise came as nonfarm payrolls increased 850,000 for the month, compared with expectations of 706,000.
Technical Analysis
The USD/CAD dropped sharply on Friday, falling more than a 1-big figure. The exchange rate dropped through support which is now short-term resistance seen near the 10-day moving average at 1.2346. Support is now seen near the 50-day moving average at 1.2197. Short-term momentum has turned negative as the fast stochastic…