USD/CAD holds above 1.0855 ahead of the FED

FXStreet (Córdoba) - The USD/CAD remains quiet on Wednesday, as investors await for the FOMC statement and Yellen’s press conference. The Loonie is falling modestly against the US dollar for the second day in a row, but trading remains limited.

Currently the pair trades at 1.0866, up 0.06% for the day, moving in a range below 1.0875 and above 1.0855.

USD/CAD technical outlook

According to FX Analysts at TD Securities, the pair is picking up more support on the short term chart but the market remains essentially range-bound. “We look for a little more topside progress over the course of the session but we still have to think that near-term gains will struggle to push on through resistance in the high 1.08s for the moment”.

GBP/USD consolidates at daily lows

The GBP/USD entered a consolidation phase after the knee-jerk reaction to BoE minutes, and it has spent the last hours in a tight range as investors remain sidelined ahead of the Fed statement.
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USD/CAD significantly undervalued - TD Securities

Shaun Osbourne, Chief FX Strategist at TD Securities, in relation to USD/CAD, explained the market is content to await the outcome of today’s FOMC meeting before deciding on where to take the USD next.
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