USDCAD

Technical Analysis – USDCAD struggles below 2-month peak; surpasses downtrend line

Posted on February 7, 2020 at 7:51 am GMT

USDCAD had a successful jump above the one-year falling trend line, recording a two-month high, but it found some a obstacle near the 50.0% Fibonacci retracement level of the down leg from 1.3664 to 1.2950 near 1.3305. The buying interest seems to be soft as the technical indicators are suggesting a possible pull back in the short-term. The stochastic oscillator created a bearish crossover within its %K and %D lines in the overbought zone, while the RSI is flattening near [..]

Virus treatment: Can it unleash a wave of risk appetite? – Special Report

Posted on February 6, 2020 at 4:22 pm GMT

The deadly virus theme that has plagued global markets, devastating commodity prices and risk-sensitive currencies, seems to be calming down. The rate of infections appears to be levelling off, and Chinese media suggest scientists found a drug that effectively treats patients. If confirmed, that could ignite a fresh wave of risk-taking, helping the commodity-linked Australian, Canadian, and New Zealand dollars to rally in relief, as safe-havens like the yen come under selling pressure. Is it a short-term thing? Evaluating the [..]

Devastated loonie eyes Canadian jobs data for relief – Forex News Preview

Posted on February 5, 2020 at 8:56 am GMT

The latest jobs numbers out of Canada are due at 13:30 GMT on Friday. Forecasts point to another decent report, which could dispel some expectations for a rate cut by the BoC in the coming months, and perhaps lift the loonie on the news. That said, as long as markets continue to agonize about the impact of the coronavirus on the global economy and commodity demand, any recovery in the oil-sensitive currency might remain short lived. Loonie pummeled as BoC [..]

Daily Market Comment – Chinese stocks fall apart, but currencies take a breather

Posted on February 3, 2020 at 10:04 am GMT

Equities in China fall ~8%, but broader market stabilizes after Friday’s selloff Recession fears reignite, pushing dollar down as Fed rate cuts are priced in Pound drops as Boris ‘talks tough’ – prelude of things to come? US Democratic primary begins, will Bernie Sanders spook stocks? Chinese equities disintegrate, despite PBoC rate cut The coronavirus theme continues to torment financial markets, with Chinese stocks closing lower by almost 8% today, on their first day back from holidays. The losses [..]

Week ahead – RBA meeting and US payrolls in focus as virus worries linger

Posted on January 31, 2020 at 1:18 pm GMT

The Reserve Bank of Australia (RBA) is the sole major central bank that will meet next week but that doesn’t mean the calendar is light, as there’s a cascade of crucial economic data to keep things exciting. The US employment report will reveal whether the recent ‘cracks’ in the labor market were just outliers in an otherwise healthy trend, or early signs of weakness. The answer could determine whether ‘king dollar’ will continue to reign over the FX market. More [..]

Daily Market Comment – Aussie tanks on virus worries; Pound flies as BoE holds

Posted on January 31, 2020 at 9:42 am GMT

Stocks stage major comeback as investors brush aside virus fears However, aussie and kiwi tell a different story – both drop substantially Is the Fed’s ‘not QE’ responsible for the divergence between stock and bond/FX markets? Pound roars higher as BoE keeps rates unchanged Stocks recover, as health officials soothe contagion concerns The market’s rollercoaster ride continued Thursday, with US equities recovering substantial losses to close into the green, even though earnings from heavyweight tech players like Facebook (-6.1%) and [..]

Technical Analysis – USDCAD rises to 7-week high above 1.3200

Posted on January 31, 2020 at 7:47 am GMT

USDCAD is trading not too far from yesterday’s seven week high of 1.3220, which is the 38.2% Fibonacci retracement level of the down leg from 1.3664 to 1.2950. The bullish correction, which initially pivoted off the 21-month low of 1.2950, is approaching the one-year downtrend line. The technical indicators are confirming the positive structure on price. The stochastic oscillator is posting a bullish crossover within the %K and %D lines in the overbought zone. The MACD is strengthening its upside [..]

Daily Market Comment – Close call if BoE will cut today; Risk aversion revives

Posted on January 30, 2020 at 10:02 am GMT

All eyes on BoE meeting, markets view prospect of a rate cut as a coin toss On balance, decent PMIs give BoE breathing room to wait – if so, pound might spike higher Yen advances, stocks stumble as virus fears revive risk aversion Dollar ticks lower as Fed adopts a slightly more cautious tone, but quickly recovers BoE rate decision: To cut, or not to cut? The main event today will be the Bank of England’s (BoE) policy decision at [..]

Daily Market Comment – Fed to stand pat; risk appetite roller-coaster rolls on

Posted on January 29, 2020 at 1:29 pm GMT

Fed to stay on hold today, but adopt a slightly more cautious tone? Yen retreats, stocks rebound as risk sentiment recovers However, bond and stock markets are not on the same page today Barrage of corporate earnings coming up: Microsoft, Facebook, Tesla, Boeing No action from Fed, but perhaps a more dovish take Investors may finally divert their attention away from the deadly coronavirus today, when the Federal Reserve concludes its policy meeting at 19:00 GMT. There’s virtually no chance [..]

Daily Market Comment – Risk sentiment stabilizes as virus worries calm, but caution lingers

Posted on January 28, 2020 at 9:51 am GMT

Wall Street futures signal a rebound, even without any ‘good news’ However, pockets of stress still evident in the market Japanese stocks decline further, aussie and kiwi can’t get off the floor Today: US durable goods, earnings bonanza begins with Apple Risk aversion takes a breather as virus nerves calm, for now The virus-related uncertainty that plagued global markets in recent days started to abate on Tuesday, with the safe-haven Japanese yen unable to extend its recent gains and futures [..]

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