nvesting.com - The U.S. dollar edged lower against its Canadian counterpart on Tuesday, as investors locked in profits from the greenback's recent rally to multi-year highs against most other major currencies.
USD/CAD hit 1.1613 during early U.S. trade, the session low; the pair subsequently consolidated at 1.1613, slipping 0.21%.
The pair was likely to find support at 1.1562, the low of December 19 and resistance at 1.1668, the high of December 23.
The dollar found broad support after final data last week showed that U.S. gross domestic product rose 5.0% in the third quarter, exceeding expectations for a growth rate of 4.3% and up from 3.9% in the three months to June.
The strong data fuelled further optimism over the strength of the U.S. economic recovery and added to expectations for the Federal Reserve to raise interest rates next year.
Separately, markets were jittery after Greek Prime Minister Antonis Samaras said on Monday that he will recommend parliamentary elections are held on January 25, almost 18 months before his coalition's term was due to end.
The announcement came as Samaras failed in his third attempt to persuade lawmakers to back his candidate for head of state, forcing the legislature’s dissolution.
The loonie was steady against the euro, with EUR/CAD at 1.4143.
Later in the day, the U.S. was to release data on consumer confidence.