The Canadian Dollar (CAD) strengthens against the US Dollar (USD) on Tuesday, with USD/CAD extending losses for the second straight day and dropping to its lowest level since September 1.
The US Dollar extends losses on Tuesday after a nearly 0.5% decline on Monday. Bears are focusing on 10-day lows, at 1.3760, with upside attempts capped below 1.3780 as the market awaits Canadian CPI and US Retail sales to frame interest rate decisions later this week.
US Dollar (USD) is likely to trade in a range between 147.00 and 147.60. In the longer run, a narrower range of 146.20/148.50 is likely enough to contain the price movements for now, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.