Forex: USD/CAD higher after testing support at parity

FXstreet.com (Barcelona) - The market fell on the European morning to test parity (1.0000) as support once again, after the extended upside seen in late October and consolidation in November. With the 1.0000 psychological level holding the trades, the USDCAD then moved upwardly and is edging higher, with a high printed at 1.0023 and quoting around 1.0015 as of writing.

The US "fiscal cliff" is of great concern for the market and President Obama will meet with the four top leaders of congress (John Boehner, Mitch McConnell, Nancy Pelosi and Harry Reid) today to discuss the issue. Investors will be eyeing the event starting at 15:15 GMT.

UBS analysts are bullish on the cross: "Resistance is at 1.0085, a break above would expose 1.0136", the wrote, pointing to support at 0.9983 ahead of 0.9947.