IMPACT ON THE USD-
Today, the focus has shifted to PPI, core PPI, and prelim University of Michigan consumer sentiment. Yesterday, the economic data gave another uptick to the economy. In the week ending December 6, the advance figure for seasonally adjusted initial claims was 294,000, a decrease of 3,000 from the previous week's unrevised level of 297,000. The 4-week moving average was 299,250, an increase of 250 from the previous week's unrevised average of 299,000, according to the source from DOL. Retail sales rose 0.7 percent in November showing utmost growth in eight months. The lower crude oil prices are affecting greatly the retail sales data.
IMPACT ON THE CAD-
The Canada new housing pricing index rose 0.1% in October, following an identical increase in September.
TECHNCIAL VIEW
The pair erased the double top formation and gave a strong close at yesterday's session. Today, the pair opened with a bullish bias, but was unable to break the previous day's high at 1.1549. As of now, the pair made a high at 1.1548 levels. We have been recommending buying on every dip with the targets at 1.1570, 1.1640, and 1.1740 on a positional basis. We still recommend the same strategy. Today, bulls can hardly hold the gains above 1.1476. In case if the prices close above 1.1502 on a daily basis, it can challenge 1.1540, 1.1565, and 1.1575 in the near term. At yesterday's session, the pair met the criteria and touched 1.1540. Again, we recommend fresh buying above 1.1550 with the targets at 1.1565, 1.1575, and 1.1590. The intraday support exists at 1.1500. On the h4 chart, the pair gave an upswing to running symmetric triangle breakout height of 145 pips and a minor ascending triangle breakout height of 103. Both the triangle breakouts are aiming at the 1.1604 levels.
The material has been provided by InstaForex Company - www.instaforex.com
