FXstreet.com (Barcelona) - After testing the 1.0365 support during the Asian session, USD/CAD has begun to rise in the European morning from 1.0265 to trade above 1.0300 level and test the MA55 hourly chart level at 1.0340 ahead the BoC interest rate decision.
Currently the pair is trading around 1.0315/25, 0.45% above today's opening price action at 1.0277.
Market expects the Bank of Canada to hold unchanged its interest rate at 0.25%. Before that data, Canada will publish the September Leading Indicators index, markets seen a decline to 0.7% in September from 1.1% posted in August.
The ecPulse.com analysis team comments: The dollar versus loonie is trading within a calm bullish move since this morning, as we expected in our morning report, where the pair completes through this move the bearish technical pattern with with the neckline at 1.0255. However, the pair should not surpass the 1.0340. Thus, we await a reversal supporting our expectations of a downside movement for the rest of trades today. It is vital that we focus on the interest rate decision by BoC at 13:00 GMT, which might cause some mixed trading for the pair.