USDCAD

Daily Market Comment – Dollar slumps as recovery hopes gather pace

Posted on June 3, 2020 at 8:38 am GMT

Increasing optimism of strong economic recovery pummel the dollar Yen loses shine too, but gold holds within range as US and China risks linger Loonie nears 3-month high as BoC and OPEC+ decisions eyed Markets shrug off US unrest, look to recovery After a brief scare on Tuesday, it didn’t take long for risk appetite to get back into full mode as investors largely ignored growing unrest in the United States to instead focus on the increasing signs that a [..]

Technical Analysis – USDCAD declines to 2-month low but indicators signal a pullback

Posted on June 2, 2020 at 1:32 pm GMT

USDCAD extended Monday’s losses and is currently trading not far above a two-month low of 1.3491 hit earlier today. The strong bearish rally started has been evolving since April 21. However, the momentum indicators are suggesting a possible pullback in the very short-term. The stochastic oscillator is creating a bullish crossover in the oversold zone and the RSI is sloping up below the 30 level. Further declines may meet support around the inside swing high from February 28 at 1.3465. [..]

Daily Market Comment – US protests rage on, start to weigh on dollar

Posted on June 2, 2020 at 8:28 am GMT

Trump inflames protests, threatens martial law as US stocks begin to take notice Dollar extends slide as recovery hopes keep positive sentiment intact Aussie flirts with $0.68 after RBA, pound shoots above $1.25 despite Brexit risks Oil steady ahead of OPEC+ meeting Market unease as protests ravage US cities Mass protests continue for a seventh day across major cities in the United States, causing widespread damage and looting in what is another blow for businesses already crippled by the shutdowns [..]

Bank of Canada may not change course as Macklem takes the helm – Forex News Preview

Posted on June 2, 2020 at 6:52 am GMT

The Canadian dollar may show fresh volatility on Wednesday after the Bank of Canada’s new chief holds his first policy meeting, with the rate announcement scheduled to be released at 14:00 GMT. Interest rates are expected to remain steady, while additional lending through corporate bond purchases cannot be excluded if the central bank wants to help more amidst lingering COVID-19 uncertainties and elevated domestic risks. Yet, what could attract greater attention, and hence move the loonie, is the central bank’s [..]

Week Ahead – ECB, RBA, and BoC meetings ahead of nonfarm payrolls

Posted on May 29, 2020 at 1:12 pm GMT

The coming week is action-packed, with three central bank meetings, the resumption of critical Brexit talks, and the release of the US jobs report. The ECB looks primed to expand its QE program but paradoxically, that may not hurt the euro. Neither the Reserve Bank of Australia nor the Bank of Canada is unlikely to act – those currencies could be driven mainly by risk sentiment and US-China tensions. Meanwhile, although markets ignored scary economic data on the way down, [..]

Daily Market Comment – Stocks ease off ahead of Trump’s Hong Kong decision; dollar skids after Fed comments

Posted on May 29, 2020 at 8:18 am GMT

Stocks drift lower, yen edges up as markets await Trump’s response over Hong Kong But dollar hits 2½-month low on soaring euro and Fed hints of yield curve control Powell speech and US spending data also eyed later today Sino-US relations under strain Markets are bracing themselves for US President Trump’s press conference expected later today for his decision on what actions to take against China over Hong Kong. The Chinese parliament yesterday passed the controversial national security bill, which [..]

Technical Analysis – USDCAD cautiously bearish; declines below base of range

Posted on May 29, 2020 at 7:20 am GMT

USDCAD has found some footing at the 100-day simple moving average (SMA) residing at the 1.3724 key trough, following a break of the foundation of a trading range that commenced around early April. The price has been weakening ever since it tested the ceiling of the horizontal market at 1.4264, backed by the intact negative Ichimoku lines. Promoting additional weakening in price is the declining 50-day SMA and the MACD, which is falling below its red signal line in the [..]

Canadian GDP data may not be a game changer for the loonie – Forex News Preview

Posted on May 27, 2020 at 3:30 pm GMT

While markets are shifting focus to the second half of the year, hoping to see signs of economic recovery on the back of easing lockdown measures, the loonie will take a glance at Friday’s Q1 GDP numbers at 12:30 GMT. The monthly GDP readings for March may attract special attention as this was the month the government ordered the quarantine. Yet, the overall ugly outcome may prove outdated and probably not a game changer for the rising loonie. GDP growth [..]

Daily Market Comment – Caution sets in after Trump signals Hong Kong action

Posted on May 27, 2020 at 8:41 am GMT

Dollar firms as Trump hints at end-of-week response against China over Hong Kong But stocks mixed as US-China tensions fail to dent recovery optimism EU divisions resurface, put a brake on euro’s advances US preps Hong Kong sanctions: only Asia takes note Asian stocks were under pressure on Wednesday as US President Donald Trump gave his clearest signal yet that his administration is planning a response to China’s tightening of its grip on Hong Kong. In a White House press [..]

Technical Analysis – USDCAD restrained near bottom of trading range

Posted on May 26, 2020 at 10:27 am GMT

USDCAD failed again to beat the mostly flattened simple moving averages (SMAs) and is currently headed to retest the lower boundary of the horizontal market at 1.3850. The short-term oscillators further reflect the latest downturn in price with the RSI having approached the 30 mark from the bullish section, and the stochastic lines declining from previous overbought regions into oversold territory. Moreover, the MACD – under weak directional momentum – has only just dipped below its red signal line and [..]

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