CAD: Canadian Dollar is slightly rising in pairing with USD

At the Forex currency market the Canadian Dollar rate is rising slightly, amid growing oil prices.

Forex forecast: MACD indicator is moving in the negative area for the pair USD/CAD and goes down, maintaining a pair sell signal. Stochastic Oscillator tends to move away from the oversold zone, and started to shape a buy signal.

Forex recommendations: off the market.Feasible event scenario at Forex: in case of breakdown at the level of 0.9580, the pair will go to 0.9570 ? 0.9550.

If downward breakdown does not take place, the pair will consolidate near the current levels.It became known yesterday that sale of new cars in Canada fell by 6.1% m/m in May against preliminary forecast of -1.1% m/m.In addition, purchase of the Canadian securities by foreign investors increased by C$15.442 billion in May against revised level of C$8.523 billion in April.

At the beginning of June the Bank of Canada left the interest rate unchanged at the level of 1.00% per annum which agreed with market expectations. The regulator said in the follow-up comments that minimization in incentives shall be thoroughly considered, although eventually all the incentives will be phased out. According to the Bank of Canada, core inflation remains relatively low and economy is active, as expected. At the same time expensive Canadian Dollar may well become a break on national economic growth and provide a restraining influence on inflation.

According to the plan of the Finance Ministry of Canada, the country shall revert to the budget surplus by 1014.Balance of current account in Canada was at the level of –CAD $8.92   billion in QI against the level of CAD$10.28 billion in QIV last year. In addition, real GDP of basic prices increased by 0.3% (+2.8% y/y) in QI against revised level of -0.1 % m/m in February.  

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