All Articles Tagged - USDCAD

Bank of Canada policy preview: The calm after the storm – Forex News Preview

Posted on December 8, 2020 at 3:53 pm GMT

The Bank of Canada will hold its last policy meeting before the year end on Wednesday at 14:00 GMT and markets are almost certain that no shift will take place as growing post-Covid prospects are outweighing the current virus resurgence. Should the Bank adopt a more optimistic tone, the Canadian dollar may seek fresh highs. No pressure to ease policy Markets are in a festive mood, celebrating the promising vaccine news that is highly projected to end the health crisis and [..]

Technical Analysis – USDCAD pauses descent but maintains bearish tone

Posted on December 8, 2020 at 2:03 pm GMT

USDCAD is trading around the 1.2782 trough, aggressively formed in October of 2018, which is freezing its negative price action as it hits a 30½-month low of 1.2767. Nonetheless, the dictating simple moving averages (SMAs) are endorsing the predominant bearish direction. However, currently the short-term oscillators are displaying strengthening positive momentum. The MACD, some distance below zero, is rising above its red trigger line, while the RSI is climbing above the 30 threshold. Furthermore, the stochastic oscillator %K line has [..]

After the vaccine boost, what’s next for the commodity dollars? – Special Report

Posted on December 4, 2020 at 1:54 pm GMT

It’s been a roller-coaster year for the commodity-linked dollars of Canada, Australia and New Zealand as the global pandemic has wreaked havoc on international trade and on commodity prices – the lifelines of the three economies. But as countries around the world make progress towards recovering from the once-in-a-generation crisis, Australia and New Zealand seem poised to bounce back the quickest. Canada’s recovery may be slightly shakier due to its over dependency on the United States and oil exports. But [..]

Week Ahead – Can the ECB clip the euro’s wings?

Posted on December 4, 2020 at 12:51 pm GMT

It will be another action-packed week in global markets, with two central bank meetings, a potential US stimulus agreement, and a flurry of economic data. The European Central Bank is certain to shower investors with more liquidity. Yet, this move has already been telegraphed and priced in, so if policymakers want to sink the supercharged euro, they need to over-deliver. The political arena will continue to excite as well, with the Brexit talks now in their final stage. All markets [..]

Technical Analysis – USDCAD’s breakdown revives March downtrend

Posted on December 4, 2020 at 8:57 am GMT

USDCAD brought its downward pattern from the 1.4667 peak back into play after breaching the 1.2980 floor and the base of a rectangle, which kept the market in a sideways move during the past three months. In its third week of losses, the price is currently trading around a new 27-month low of 1.2846 and comfortably below its simple moving averages (SMA) as the momentum indicators continue to flash a bearish bias. Despite having ticked below their oversold levels, the RSI and the Stochastics [..]

Daily Market Comment – Dollar sinks again on rising optimism but stock rally cools

Posted on December 3, 2020 at 10:03 am GMT

Dollar slide deepens as stimulus and vaccine hopes drive positive theme But vaccine-led rally may have run its course in equity markets as stocks mixed today Tense Brexit talks keep pound on edge, euro roars past $1.21 Oil slips ahead of OPEC+ decision; gold extends rebound The US dollar slipped further on Thursday, slumping to fresh 31-month lows against a basket of currencies, as investors dumped the world’s reserve currency in the face of increased optimism about the global economic [..]

Daily Market Comment – Stimulus, vaccine euphoria push stocks to new highs, dollar sags

Posted on December 2, 2020 at 9:52 am GMT

US stimulus hopes revived after fresh efforts to kickstart talks Vaccine rollouts edge closer after UK approval Stocks scale new heights, but signs of exhausted rally Dollar slump deepens even as Treasury yields jump Brexit jitters take steam out of pound rally Optimism soars as stimulus talks back on Markets had plenty to cheer about on Wednesday as reports of renewed efforts by US lawmakers to kickstart the stalled stimulus talks were followed by news that Pfizer-BioNTech’s vaccine has won [..]

Canada to add modest jobs, loonie may not abandon its bullish trend yet – Forex News Preview

Posted on December 2, 2020 at 9:23 am GMT

In addition to GDP readings, Canada will publish employment data for the month of November on Friday at 12:30 GMT, providing its latest update on the health of its export-oriented economy. Although the numbers may not be exciting, they are not expected to darken the economic outlook either, likely helping the Canadian dollar to maintain balance against its US counterpart. Q4 could send Canada to negative area The reopening of the economy from the initial lockdown in the third [..]

Technical Analysis – USDCAD’s negative bias struggles near multi-year floor

Posted on December 1, 2020 at 10:31 am GMT

USDCAD is finding difficulty in returning under the lower Bollinger band around 1.2949, despite the picture remaining largely to the downside. The simple moving averages (SMAs) are maintaining their controlling bearish demeanour, while conflicting signals in near-term momentum are exhibited within the short-term oscillators. The MACD, in the negative region, has stepped marginally above its red signal line, while the RSI is pointing lower in bearish territory. That said, the gloomy tone of the stochastic oscillator is endorsing further losses [..]

Daily Market Comment – Stocks resume gains, dollar whipsaws as optimism returns

Posted on December 1, 2020 at 10:01 am GMT

Asian recovery gathers speed, pulling global stocks higher Dollar bounces higher, then falls as temporary growth jitters subside Powell offers no policy clues in prepared remarks as US data underwhelms Pound spikes above $1.34 as Brexit deal speculation heats up Recovery back on track, at least in Asia Strong manufacturing PMIs out of Asian powerhouses lifted the market mood on Tuesday, reversing some of the gloom that set in yesterday from soft US indicators. A quickening in the manufacturing revival [..]

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