All Articles Tagged - USDCAD

Week Ahead – NFP bounce, stimulus progress might calm markets; BoE and RBA eyed

Posted on January 29, 2021 at 1:41 pm GMT

It’s going to be a relatively busy start to February as investors will be hoping the latest US jobs report will confirm that December’s rough patch was short lived. However, that won’t be the only data to test the market mood as preliminary GDP numbers out of the Eurozone could heighten fears of a double-dip recession. In the world of central banks, the first policy decisions of the year are due in Australia and Britain. The Reserve Bank of Australia [..]

Daily Market Comment – Stock market rebound fizzles out, but FX remains calm

Posted on January 29, 2021 at 9:26 am GMT

Wall Street set to open in the red, erasing latest rebound Overall, nothing has changed, so risk aversion could fade soon Yen crumbles after BoJ signals, but broader FX market relatively calm Fear grips Wall Street again What a crazy week. An assault by small investors weaponizing call options against hedge fund short positions sparked all kinds of volatility and some legendary short squeezes in smaller stocks. The ripple effects were felt across markets as some funds were apparently massacred [..]

Technical Analysis – USDCAD ticks higher near falling trend line

Posted on January 29, 2021 at 8:08 am GMT

USDCAD is gaining some ground for the third consecutive day above the 20- and 40-day simple moving averages (SMAs), rebounding off the 33-month trough of 1.2585. The pair is flirting with the long-term falling trend line around the 1.2900 psychological level. According to the technical indicators, the stochastic is suggesting an overbought market as the %K line advanced above the 80 level, while the RSI is pointing upwards above the 50 level with stronger momentum than begore. The short-term moving [..]

Dollar remains overvalued; can America’s twin deficits still sink it? – Special Report

Posted on January 28, 2021 at 2:28 pm GMT

The US dollar ended a volatile 2020 down 6.5% against a basket of currencies, underlining the dramatic turnaround in risk appetite from the depths of the March virus crisis. That risk rally is showing no sign of abating anytime soon, driving bearish bets against the dollar to near-decade highs. Nevertheless, the dollar’s negative outlook is becoming increasingly murky as the US economy is poised to outperform its peers in 2021. In view of this, can America’s soaring current account and [..]

Technical Analysis – USDCAD retreats towards descending channel

Posted on January 26, 2021 at 10:16 am GMT

USDCAD climbed above the short-term descending channel earlier today in the four-hour chart but failed to jump above the 1.2780 resistance, returning lower. The directionless Ichimoku lines and the steadied cloud further reflect the weakness in the price momentum. Meanwhile, the RSI is heading south but is still holding comfortably above its neutral threshold of 50, whereas the Stochastic is moving higher after the bullish cross within its %K and %D lines, endorsing the rebound off 1.2590. Initial support to downside movements could commence within the zone of the cloud, where the 40- [..]

Daily Market Comment – Stocks retreat, dollar edges up as virus concerns creep in again

Posted on January 22, 2021 at 10:11 am GMT

Equity rally loses steam after strong weekly gains amid renewed virus jitters Talk of Biden tax increases also undermines risk appetite, lifting the dollar Poor data pull down pound and aussie but euro fares better after ECB stays put Virus outbreaks, recession fears cap risk rally The stimulus-led stock market rally faltered on Friday as investors paused for breath after sharp gains in a week when US President Joe Biden formally took office, reaffirming expectations of higher spending and borrowing [..]

Technical Analysis – USDCAD calls for an upside reversal after new 33-month low

Posted on January 22, 2021 at 8:32 am GMT

USDCAD stretched its March downtrend to a fresh 33-month low of 1.2588 on Thursday before completing the day with a bullish doji candle. The positive candle formation is an indication of a coming upside breakout, which the price is currently pushing to confirm, as it is recovering towards its 20-day simple moving average (SMA) at 1.2719. With the RSI distancing itself above its 30 oversold level and the MACD, although negative, hovering above its red signal line, an upside correction [..]

Daily Market Comment – Wall Street at fresh record as Biden sworn in; euro up ahead of ECB

Posted on January 21, 2021 at 10:10 am GMT

Hopes of more stimulus and relief over Biden’s peaceful transition lift sentiment US stocks close at new record highs as strong earnings add extra fuel Dollar skids again, euro bounces off lows ahead of ECB decision Optimism high as Biden enters White House After four tumultuous years, Trump’s presidency came to a historic end on Wednesday, as Joe Biden marked his first day at the White House by spreading a message of hope and unity to a fractious nation. While [..]

Daily Market Comment – Stocks climb, dollar slips as Yellen makes case for more stimulus

Posted on January 20, 2021 at 9:53 am GMT

Stocks power higher after Yellen calls for more big spending to fight pandemic Risk assets rally ahead of Biden inauguration as reflation trade boosted Dollar under renewed selling pressure, gold capitalizes Yellen talks up big spending Risk appetite was riding high on Wednesday after Treasury Secretary nominee Janet Yellen reignited hopes of more massive stimulus packages in the United States in her confirmation hearing yesterday. Yellen went out of her way to make the case for higher spending to counter [..]

Technical Analysis – USDCAD ranges, with upside efforts curbed by 200-MA

Posted on January 19, 2021 at 12:45 pm GMT

USDCAD appears to have glided into a sideways market with a floor at 1.2624 and a ceiling at 1.2834. The price is currently standing on the slight upturn in the 50-period simple moving average (SMA), trying to gain some footing. Nevertheless, from the beginning of the year, the picture is fairly neutral, something also demonstrated in the directionless Ichimoku lines. The dictating 100- and 200-period SMAs are defending the broader negative picture, while the short-term oscillators and the subsided negative [..]

Legal disclaimer: The material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instruments. XM accepts no responsibility for any use that may be made of these comments and for any consequences resulting in it. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. The research and analysis does not involve any specific investment objectives, financial situation and needs of any specific person who may receive it.

It has not been prepared in accordance with legal requirements designed to promote the independence of research, and as such it is considered to be marketing communication. Although we are not specifically constrained from dealing ahead of the publication of our research, we do not seek to take advantage of it before we provide it to our clients. We aim to establish, maintain and operate effective organisational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. We operate a policy of independence, which requires our employees to act in our clients’ best interests and to disregard any conflicts of interest in providing our services.

CFDs are leveraged products. CFD trading may not be suitable for everyone and can result in losing all of your invested capital, so please make sure that you fully understand the risks involved.

How can we help?

Live Chat Terms

How to Access

Telegram Chat Terms

USDCAD