FXstreet.com (Barcelona) - USD/CAD has risen around 35 pips in the last hour from 1.1090 to break 1.1060 resistance and test 2-week highs level close to 1.1090. Dollar is rising on the back of the worse than expected ADP employment report but the good nonfarm productivity index.
Currently the pair is trading around 1.1075/85, 0.35% above its opening price action.
U.S. non farm- payrolls could have declined by about 298,000 in August, according to figures by Automatic Data Processing, worse than the 213K decline expected by the market. Nonfarm productivity has risen 6.6% in the second quarter of 2009, better than 6.1% increases expected by market and well above 0.3% increase posted previous quarter.
The Mataf.net team comments: USD/CAD is in a consolidation after the last bullish movement. USD CAD moves without trend and swings around exponential moving averages (EMA 50 and 100). The volatility is low. ForexTrend 1H (Mataf Trend Indicator) is in a bullish configuration. The price should find a resistance below 1,1075 (22 pips). The consolidation should continue.