All Articles Tagged - USDCAD

US Open Note – FX markets head south; stocks continue to drop

Posted on August 20, 2021 at 12:57 pm GMT

Dollar index rises slightly Watered-down expectations heading into Jackson Hole next week reveal more about the economy than the Fed’s plans to taper. If the Fed does not announce a taper soon, the fear is that they will not have the opportunity to do so if the US virus situation does not get better in the coming months. The US dollar index is surging to a new nine-month high of 93.67 today, posting the fifth consecutive green day. The greenback is flattening against the Japanese [..]

Daily Market Comment – Commodity currencies in agony, stocks undecided

Posted on August 20, 2021 at 8:46 am GMT

Dollar stands tall as commodity FX continues to break down Big tech keeps US stocks afloat, Chinese markets sink All eyes on the Fed’s Jackson Hole symposium next week Commodity currencies bite the dust It’s been a wild week for financial markets, dominated by concerns that the Delta outbreak will put the brakes on the global economic recovery. Even though many of the major economies are protected by a vaccine shield, the fear is that the virus could cool demand [..]

Technical Analysis – USDCAD prints positive move to new 8-month high

Posted on August 20, 2021 at 7:49 am GMT

USDCAD posted an aggressive rally on Thursday, jumping above the 1.2810 barrier and printing a new eight-month high of 1.2920. The MACD oscillator is going up above its trigger line, while the RSI is moving into overbought territory. The Ichimoku lines are rising higher, and so are the 20- and 40-day simple moving averages (SMAs), of which the former has crossed to the upside of the 200-day SMA. Taking the previous high as a reference point, a subsequent push up might take the price as far [..]

Technical Analysis – USDCAD creates bullish rally above 200-day SMA

Posted on August 19, 2021 at 1:36 pm GMT

USDCAD is advancing aggressively beyond the 200-day simple moving average (SMA), adding to the optimism that the medium-term outlook is shifting to bullish. According to the technical indicators, the MACD oscillator is pointing up above its trigger line, while the RSI is heading towards the overbought region. The 20- and 40-day SMAs are heading north and the Ichimoku lines are also moving up. The next push up could take the price until the 1.2810 barrier, taken from the latest high. Overcoming this obstacle, the 1.2950 level could [..]

US Open Note – Riskier currencies plummet amid dollar strength

Posted on August 19, 2021 at 12:57 pm GMT

FOMC minutes drive dollar up Following the minutes from the latest FOMC meeting, the dollar index rose to 93.4 on Thursday, the highest closing level since November 2020. Numerous market participants now believe that the Fed will disclose a tapering timeline at the Jackson Hole Symposium next week. There will be less cash poured into the system if asset purchases are reduced. US stocks slid and are headed for a negative open today, while dollar/yen is heading south around 109.60. [..]

US Open Note – FOMC minutes next on the radar; greenback steady

Posted on August 18, 2021 at 1:13 pm GMT

Dollar awaits FOMC minutes for notable move The major highlight of the day is expected to be the FOMC minutes announcement. In the run up to the Jackson Hole Symposium next week, the minutes from the July 27-28 meeting will be of considerable interest. Investors are anticipating to see a highly hawkish tone in the minutes. A hawkish change is likely to occur in the September Dot Plots, with median launch expectations for a rate hike moving to 2022. The [..]

Technical Analysis – USDCAD eases from 4-week high, finds support in 50% Fibo

Posted on August 18, 2021 at 8:34 am GMT

USDCAD has come off a 4-week top of 1.2648 brushed yesterday to settle around the 50% Fibonacci retracement of the late July drop, which lies at 1.2614. Technical indicators underscore the waning positive momentum. The stochastics are sliding, with the %K line approaching 50, while the MACD histogram has also started to retreat. However, the MACD not only remains comfortably in positive territory but also above its red signal line. In addition, the price is holding well above its moving [..]

Loonie falls victim to risk-off, eyes CPI and retail sales for boost – Forex News Preview

Posted on August 17, 2021 at 2:45 pm GMT

The Canadian dollar has been on the backfoot lately against its US counterpart amid expectations of a nearing taper announcement by the Federal Reserve, as well as increased risk aversion this week. However, inflation numbers out on Wednesday and retail sales figures on Friday (due at 12:30 GMT) might provide some support for the loonie as expectations are for an uptick in both datasets. Canada not immune to Delta variant The Bank of Canada has not only beaten its global [..]

US Open Note – US retail sales released with minor impact on dollar; kiwi tumbles

Posted on August 17, 2021 at 1:06 pm GMT

US retail sales miss is mild hit to dollar The recovery in the US dollar after Friday’s sell-off is continuing today, with only a minor market reaction after the retail sales release. Retail sales in the US rose by 1.1% m/m in July versus -0.3% that was the forecast and from an upwardly revised 0.7% in the previous month. The US dollar index is up two days in a row and has nearly retraced half of its previous day’s loss. Dollar/yen is recouping some of the losses of the previous days, trading above 109.00. US [..]

US Open Note – Yen surges due to risk-off factors; oil plunges

Posted on August 16, 2021 at 12:44 pm GMT

Dollar marginally up; Stocks ease The market is beginning the week on a cautious note. The US dollar index is ticking marginally up after a strong negative session, while US futures are suggesting a negative open after the S&P 500 and Dow Jones completed new record highs on Friday. Euro/dollar failed to surpass the 1.1800 psychological level on Friday and is moving lower, while pound/dollar is hovering around 1.3870. Yen shines; commodity currencies fall The yen has risen sharply because of several risk-off factors, all [..]

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