USDCAD

Daily Market Comment – Mixed trade signals leave currencies rangebound; euro jolted by flash PMIs

Posted on November 22, 2019 at 9:20 am GMT

Conflicting trade signals by China and the United States confuse markets Loonie surges after BoC’s Poloz dampens rate cut expectations; retail sales eyed next Euro spikes higher, then falls on flash Eurozone PMIs Major pairs set to end week little changed Markets were overcome by trade news fatigue on Friday as days of conflicting messages on the state of the US-China talks left most investors none the wiser about whether a partial trade deal was still possible. The dollar index, [..]

Inflation and retail sales to guide loonie this week – Forex News Preview

Posted on November 19, 2019 at 1:41 pm GMT

The BoC chief, Stephen Poloz, left interest rates at 1.75% this month and at the highest among advanced economies, refraining to follow the dove camp that most of its major counterparts joined to countermeasure the negative spillovers from the US-China trade war. While higher rates keep Canadian bond yields relatively more attractive to investors, Canada’s heavy reliance on exports and commodity prices suggests that the economy could easily take a downturn if the US and China fail to find a [..]

Week ahead – Fed minutes and European PMIs highlight a calm week

Posted on November 15, 2019 at 1:52 pm GMT

The economic calendar is relatively light next week, with the most crucial release being the euro area’s preliminary PMIs, which will reveal whether growth is headed for a contraction in Q4. In America, the minutes of the latest Fed meeting could add some color around the decision to hit ‘pause’ on rate cuts and clarify if the Fed intends to let the economy run hot. In the broader market, risk appetite will be driven by trade news, where the mood [..]

Daily Market Comment – Stocks storm to new highs on more trade euphoria

Posted on November 15, 2019 at 9:37 am GMT

US equities claim new highs on trade hopes, but the FX market is doubtful Dollar braces for retail sales figures today Trump could announce his decision on EU car tariffs any moment US stocks to open at new records as Kudlow hypes ‘phase one’ deal Another day, another record high for US equity markets. Futures point to a notably higher open on Wall Street today, the S&P 500 expected to gain 0.45%, after Larry Kudlow – one of Trump’s closest [..]

Technical Analysis – USDCAD looks to rebound near ascending trendline

Posted on November 15, 2019 at 8:38 am GMT

USDCAD is testing the upward-sloping trendline drawn from the 3-month low of 1.3041 in the four-hour chart following Thursday’s pullback from the 1.3269 high. According to the fast Stochastics the odds for a rebound are increasing as the indicator is preparing to post a bullish cross below its 20 oversold mark. The RSI, however, is still around its 50 neutral mark and the red Tenkan-sen and Blue Kijun-sen lines look to be converging on the downside, signaling that any market action [..]

Daily Market Comment – Germany dodges a recession, but euro remains skeptical

Posted on November 14, 2019 at 10:11 am GMT

Technical recession avoided in Germany, but outlook for euro still bleak American stock markets hit new records, ignoring gloomy trade news Lots of Fed-speak today, starring Powell, Clarida, and Williams – the Fed’s ‘top 3’ Germany dodges a recession, but euro can’t catch a break Europe’s largest economy narrowly escaped a technical recession in Q3, with GDP growth clocking in at 0.1% in quarterly terms, overcoming the consensus for a negative 0.1% print. It appears that the recession in the [..]

Daily Market Comment – RBNZ catapults kiwi higher; Trump decides on EU tariffs

Posted on November 13, 2019 at 9:35 am GMT

Kiwi outperforms as RBNZ surprisingly refrains from cutting rates Markets in a slight risk-off mood as trade doubts reemerge Today: Trump decides on EU tariffs, Fed chief Powell testifies, and US CPI data RBNZ surprisingly keeps rates unchanged, propels kiwi higher To the surprise of many, the Reserve Bank of New Zealand (RBNZ) kept its policy rate unchanged overnight, confounding forecasts and market expectations, as a rate cut was priced in with an ~80% probability. Even though policymakers kept the [..]

Daily Market Comment – RBNZ to slash rates; more blues for the kiwi?

Posted on November 12, 2019 at 9:35 am GMT

Kiwi underperforms as investors bet that RBNZ will cut rates overnight Pound rejoices as Brexit party warms up to Tories, but risks seem tilted to the downside UK jobs data, Germany’s ZEW survey, and Fed-speak today RBNZ set to cut rates after inflation expectations drop The Reserve Bank of New Zealand (RBNZ) will announce its rate decision early on Wednesday, at 02:00 GMT. A rate cut seems quite likely, after a survey released overnight showed that the nation’s 2-year inflation [..]

Daily Market Comment – US stocks cruise to new records, but Hong Kong weighs

Posted on November 11, 2019 at 9:41 am GMT

Risk aversion strikes back as Hong Kong protests intensify and trade doubts resurface Dollar advances without new catalysts, loonie stumbles on weak data UK GDP numbers due, but sterling keeps its sights on election polls Hong Kong jitters send global equities back down, lift yen US stock markets levitated to new records on Friday, undeterred by some remarks from President Trump that he hasn’t decided yet whether he is willing to roll back tariffs on China to get the ‘phase [..]

Technical Analysis – USDCAD returns above trendline, but rebound capped by 100-day MA

Posted on November 8, 2019 at 9:30 am GMT

USDCAD has been restricted by the 100-day simple moving average (SMA) in recent sessions, after buyers aggressively reversed the pair back above the uptrend line, reestablishing a neutral-to-bullish picture. Despite the bearish demeanor of the 20- and 50-day SMAs, the 200- and 100-day SMAs as well as the Tenkan-sen and Kijun-sen lines reflect a stall in momentum, which could have the price endure a sideways move towards the trendline. The MACD has risen above its red trigger line and nears [..]

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