All Articles Tagged - USDCAD

US Open Note – Stocks return to green zone as covid fears wane

Posted on December 21, 2021 at 2:06 pm GMT

Risk-on appetite returns but covid headache to be continued Omicron fears took a back seat on Tuesday, letting global stock indices, risk-sensitive currencies, and energy prices recoup some lost ground. Of course, the pandemic will remain the key driver for market sentiment for longer, at least into the new year, navigating inflation pressures, and therefore, monetary tightening plans accordingly. But for now the recent bearish correction is reminiscent of the short-lived downfall, which stock markets faced in the same period [..]

Technical Analysis – USDCAD shows some positive signals; holds around 1-year high

Posted on December 21, 2021 at 10:30 am GMT

USDCAD is rising slightly higher again, approaching the one-year high of 1.2962 after finding support at the red Tenkan-sen line of the Ichimoku cloud. The RSI indicator is challenging the overbought region, while the MACD oscillator is moving sideways above its trigger line. Moreover, the 20- and 40-period simple moving averages (SMAs) are heading up, following the price action. A decisive close above the one-year peak of 1.2962 could reduce negative risks, producing another bullish extension towards the 1.3110 resistance. [..]

US Open Note – Stocks go downhill as omicron bears bite; dollar, euro resilient

Posted on December 20, 2021 at 2:23 pm GMT

Omicron plays with investors’ nerves as stimulus vanishes Stock markets were in a sea of red during mid-European trading hours as omicron concerns and tighter curbs in Europe reminded investors that the pandemic is far from over and Covid could still swamp global demand after two years of limbo. The pan-European STOXX 600 and the British FTSE 100 index followed their Asian counterparts deeply lower, with energy shares, basic materials, and consumer cyclicals driving the bulk of losses, plunging by [..]

Week Ahead – With the central bank mayhem out of the day, the festive wind down begins

Posted on December 17, 2021 at 10:51 am GMT

After a super exciting week, things will wind down significantly in the run up to the Christmas weekend, with the biggest risk for traders likely being suffering from post-central bank blues. Out of all the meetings, the Fed’s announcement undoubtedly had the largest bearing on the markets, whipsawing the dollar. But the bumpy times may not be over just yet for the greenback as the US agenda is the busiest in an otherwise quiet week. Meanwhile, stocks could get an [..]

Technical Analysis – USDCAD halts pullback, but bearish jitters still in play

Posted on December 17, 2021 at 9:18 am GMT

USDCAD attempted to touch its nine-month high of 1.2947 from August earlier this week, but its efforts proved fruitless, with the price drifting lower to find support around the 1.2770 level and the red Tenkan-sen line. Signals from momentum indicators are currently discouraging. The MACD is losing steam along its red signal line in the positive territory, the Stochastics are sloping southwards, while the RSI is still below its weekly highs despite pushing for some recovery today. Of note, the [..]

US Open Note – Will the Fed’s policy decision rattle the markets?

Posted on December 15, 2021 at 2:39 pm GMT

FOMC decision in the spotlight Markets are on edge as the Federal Reserve’s final policy decision for 2021 will hit the markets today at 19:00 GMT. The 10-year US treasury yield ticked higher ahead of the event, while the US dollar remains relatively unchanged. The central bank is widely expected to announce its plan to dial back its bond-purchases program at a faster pace and signal at least two rate hikes for next year, which could boost Treasury yields and [..]

Daily Market Comment – Omicron woes drag on sentiment, dollar extends gains

Posted on December 14, 2021 at 9:52 am GMT

Wall Street joins global rout as Omicron fears resurface but selloff eases today Dollar edges up to one-week highs as Omicron clouds outlook for central banks UK jobs numbers kick off busy week, US data eyed ahead of Fed Optimism fades amid fresh Omicron gloom Equity markets were feeling the pressure from renewed concerns about the global growth outlook as China imposed draconian restrictions after the detection of the country’s first Omicron case, while the UK’s announcement of its first [..]

Technical Analysis – USDCAD falters ahead of 2½-month resistance barrier

Posted on December 14, 2021 at 9:00 am GMT

USDCAD’s dictating upside momentum has lost steam around the upper Bollinger band at 1.2827, just shy of reaching the 1.2835-1.2855 resistance boundary, stalling the minor rally from the 1.2606 mark. That said, the simple moving averages (SMAs) are still endorsing bullish sentiment. The short-term oscillators are reflecting the slight waning in bullish momentum. The MACD, some distance above zero, is decelerating above its red trigger line, while the RSI is fading from the 70 level. The stochastic lines are in [..]

US Open Note – Quiet day ahead of raft of central bank meetings

Posted on December 13, 2021 at 2:02 pm GMT

It’s a relatively quiet start to the week before the expected onslaught of central bank meetings that will take place this week. On Monday, US futures gained along with European stocks as traders braced for a week of central bank decisions amid fears about inflation and the omicron virus. Fed, ECB and BoE meetings in the spotlight this week The Federal Reserve is anticipated to accelerate its stimulus withdrawal on Wednesday and could pave the way for quicker interest rate hikes in 2022 if price pressures remain around a [..]

Technical Analysis – USDCAD accelerates back above 1.2700

Posted on December 10, 2021 at 7:58 am GMT

USDCAD gained significant buying traction early on Friday with the price quickly recouping earlier losses to jump above 1.2700 again. The positive slope in the RSI and the growing stochastic are endorsing the current bullish momentum in the price. A rally higher could reduce negative risks, producing another bullish extension towards the key levels of 1.2850 and 1.2900. Beyond that, traders will target the eight-month high of 1.2950, a break of which would re-activate the uptrend that started last June, [..]

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