USDCAD

European Session – Dollar surges on strong ADP jobs data; Pound steadies after UK budget

Posted on March 8, 2017 at 3:49 pm GMT

Expectations about the pace of Fed rate hikes once again dominated European trading on Wednesday after robust US data underlined the case for near-term monetary tightening. The US dollar surged well past 114 yen on the data, while the British pound was able to find some support from the UK government’s first full budget after Brexit. After a slow start to the day, the dollar reversed gear to become the strongest performing currency by late European session. The greenback was [..]

European Session – Dollar advances despite worsening trade gap

Posted on March 7, 2017 at 4:13 pm GMT

The dollar was broadly stronger today relative to major counterparts though, with the exception of pound / dollar, its gains were moderate and evenly spread. US and Canadian trade data, as well as Eurozone GDP numbers were on investors’ radar today. US trade data for January showed that the trade deficit rose to a near five-year high as increasing oil prices lifted the import bill for the US. This hints that net exports, a component in the calculation of GDP, would [..]

Technical Analysis – USDCAD bullish short-term outlook but stalls at 1.34

Posted on March 6, 2017 at 3:47 pm GMT

USDCAD peaked above the key 1.3400 level on Friday but the pair failed to record a daily close above this key psychological level. After hitting a 2-month high of 1.3436, prices fell back down to 1.3370. The limited decline and the rebound towards 1.3400 today, suggests that the underlying short-term trend is still positive. The bullish bias was strengthened after the market rose above the 200-day and then above the 50-day moving average. But RSI has reached overbought levels so this [..]

Week Ahead – NFP eyed ahead of FOMC; ECB and RBA also in focus

Posted on March 3, 2017 at 4:55 pm GMT

The latest non-farm payrolls out of the United States will be on traders’ watch list next week as another solid report will likely be taken as confirmation that the Fed will raise rates when it meets in mid-March. In the meantime, there will be other central bank meetings to keep traders occupied as both the Reserve Bank of Australia and the European Central Bank will be holding their policy meetings. RBA likely to remain neutral Following the upbeat fourth quarter GDP [..]

European Session – Dollar at 7-week high on strengthening prospects of March rate hike

Posted on March 2, 2017 at 4:02 pm GMT

March Fed rate hike expectations continued to drive the dollar higher in today’s European session, while in terms of economic data, weekly jobless claims out of the US, Eurozone inflation and unemployment rate data and Canadian GDP figures were of most interest. The number of US jobless claimants fell to 223,000 last week from 242,000 the previous week. This points to a healthy jobs market and marks a near forty-four-year low, while it was below analysts’ forecasts of a 243,000 [..]

European Session – Dollar gains as odds of a March rate hike increase

Posted on March 1, 2017 at 3:56 pm GMT

It was a busy session in European trading today as market participants were evaluating US President Donald Trump’s first speech before Congress while there was an abundance of economic data releases to digest as well. Trump’s speech on the one hand offered some relief as the US President appeared more conciliatory in his comments than in the past. On the other hand though, he didn’t deliver as much as expected regarding the specifics on how he plans to deliver on [..]

Technical Analysis – USDCAD looking bullish at 5-week high

Posted on March 1, 2017 at 2:46 pm GMT

USDCAD has been consolidating since peaking at a 10-month high of 1.3598 on December 28. The pair has recovered by almost 3% after touching a 4-month low in late January and this rally has helped the MACD turn positive on Tuesday for the first time in two months. The gains have been more prominent over the past three trading days, with prices surging above the Ichimoku cloud, which further underlines the near-term bullish bias. If prices continue to head higher, [..]

European Session – Trump reflation trade in doubt again, dollar slightly down

Posted on February 24, 2017 at 4:34 pm GMT

Barring Canadian inflation data, US new home sales, and the final print of the University of Michigan consumer sentiment index there were no important economic data releases hitting the markets today. Market participants were for the most part digesting developments in the political scene and placing positions accordingly. The dollar has gained significantly on expectations of fiscal reforms by the Trump administration. However, US Treasury Secretary Steven Mnuchin’s latest comments on expecting tax reforms to start benefitting the economy next [..]

Week Ahead – Busy week for US and Japan data; Trump Congress address also eyed

Posted on February 24, 2017 at 3:59 pm GMT

The United States and Japan will have the busiest calendars next week for economic data, while Australian growth figures and the Bank of Canada’s policy meeting will also come into focus. In other data, Eurozone flash inflation numbers should attract some attention too. But President Trump’s joint address in Congress could prove the biggest market mover if he outlines details on the much talked about tax reforms. Australian economy expected to rebound in Q4 After a surprise contraction in the [..]

European Session – Dollar picks up ahead of FOMC minutes; yen outperforms; pound weighed by data

Posted on February 22, 2017 at 3:18 pm GMT

The US dollar was stronger against most major currencies except against the yen, which broadly outperformed. The euro was weak on French election jitters. The main focus of the markets was on the upcoming FOMC minutes. The euro hit a fresh one month low against the dollar at 1.0493 after dipping below the key 1.05 level for the first time in six-weeks. The single currency was pressured mainly by political developments rather than by economic data. Concerns over the upcoming French [..]

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