All Articles Tagged - USDCAD

Technical Analysis – USDCAD loses ground as bearish forces linger

Posted on January 12, 2022 at 9:05 am GMT

USDCAD has retreated from its January high amid strengthening negative momentum, and is currently found near its lower Bollinger Band indicating that an immediate upside movement should not be ruled out. Moreover, the pair’s 50-period simple moving average (SMA) has recently crossed below its 200-period SMA, increasing fears of a sustained bearish outlook. Short-term momentum indicators are supporting a negative bias as the RSI is located below its 50 neutral mark. Also, the MACD is found below zero and its [..]

US Open Note – Stocks set for opening gains; Powell’s testimony in focus

Posted on January 11, 2022 at 1:42 pm GMT

Powell testimony in focus; Bundesbank’s new chief warns on inflation Markets are anticipating Fed Chair Jerome Powell’s renomination hearing in Congress later today, waiting to find out his current views on inflation ahead of the CPI data release on Wednesday. In his prepared remarks, Powell vowed to bring down inflation and warned markets that the ongoing post-pandemic expansion might look different from what they have witnessed before. Earlier today, ECB President Christine Lagarde gave a speech at the ceremony marking the [..]

Technical Analysis – USDCAD finds support at 1.2700 but mood still gloomy

Posted on January 7, 2022 at 9:00 am GMT

USDCAD is facing difficulties in extending Monday’s swift bullish correction, which helped the pair survive a trend deterioration below the previous low of 1.2606 in the short-term window. Despite the flash pickup to 1.2812 yesterday, the price flipped back to maintain its weekly neutral trajectory within the 1.2700 – 1.2750 region, with the former representing the 38.2% Fibonacci retracement of the 1.2287 – 1.2962 upleg. The technical signals are currently illustrating a gloomy mood among traders as the MACD has further [..]

Technical Analysis – USDCAD trades around 1.27 level but keeps bearish tone

Posted on January 5, 2022 at 3:48 pm GMT

USDCAD’s directional impetus has softened as the pair appears to have snagged around the mid-Bollinger band around 1.2705. The falling 50-period simple moving average (SMA) is promoting further declines in the pair, while the flattening 100- and 200-period SMAs are suggesting a more sideways trajectory in the pair. The short-term oscillators are transmitting conflicting signals in momentum reinforcing the view that the price may consolidate. The MACD, in the negative zone, continues to move higher above its red trigger line, [..]

Canada to add more jobs despite Omicron outbreak – Forex News Preview

Posted on January 5, 2022 at 2:40 pm GMT

Canada is set to release its first employment report since the emergence of the Omicron variant at 13:30 GMT on Friday. Although the Canadian labor market has already surpassed its pre-covid peak, the upcoming report is of particular interest as it would assess the impact of Omicron on the job market and consequently on the economy. A solid report could increase the odds for a subsequent rate hike in the first quarter of 2022 but that is unlikely to significantly [..]

US Open Note – Dollar eases ahead of FOMC minutes

Posted on January 5, 2022 at 1:27 pm GMT

Investors are expecting the release of the FOMC minutes and, more crucially, the release of non-farm payrolls in the US later this week. Following a robust surge in government bond yields, the yen has remained the currency with the worst performance for the time being. The pound has managed to outperform the euro. Although the dollar is the second strongest currency, it is still stuck in a range, except against the yen. FX market view and FOMC minutes expectation The dollar is weakening ahead of the ADP employment [..]

Technical Analysis – USDCAD gives up rally near familiar resistance

Posted on January 4, 2022 at 2:48 pm GMT

USDCAD swiftly bounced back to the 1.2700 territory after almost touching December’s low of 1.2606 last week, but the descending trendline drawn from the top of 1.2962 managed to put the brakes to the rally once again. The area around 1.2720 has been balancing downside pressures over the past few hours in the four-hour chart. But currently it is giving up, letting the price slide to 1.2700. If the decline continues, the price could take a rest around 1.2678 before [..]

US Open Note – Dollar hits five-year high against yen; OPEC next on the radar

Posted on January 4, 2022 at 1:45 pm GMT

Omicron virus does not affect economic recovery Despite concerns about the extremely contagious omicron virus subtype, investors are focusing on the economic recovery from the pandemic and central bank’s plans for stimulus reduction at this time. In the FX market, the focus today is on dollar/yen, which surged to a new five-year high of 116.33 as risk-on sentiment pressed safe-haven currencies such as the yen. It may be difficult for sellers to reverse the trend. The BOJ will stay the most dovish, so the weak [..]

Week Ahead – NFP report to kick off New Year, inject life into muted FX market

Posted on December 30, 2021 at 4:18 pm GMT

Markets have been dead quiet during the holiday period but the upcoming week is guaranteed to bring increased volatility. The nonfarm payrolls report along with the FOMC minutes and a host of other US data are bound to wake markets up, while employment and inflation numbers out of Canada and the Eurozone, respectively, should also liven things a little. Although several major pairs have been rebounding against the US dollar and Wall Street has been notching up one record high [..]

US Open Note – US stock futures at record highs, dollar ticks slightly higher

Posted on December 30, 2021 at 2:28 pm GMT

Positive sentiment supported by strong US jobless claims US stock futures have managed to remain near record highs, while trading volumes have narrowed and liquidity is drying up as the trading doors near closure for 2021. The question at year end is what effects from the rapidly spreading Omicron variant will rollover into the new year, especially as infections have been hot. Also, how will economies start to fare in the new year with an environment where stimulus is diminishing, [..]

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