The US dollar has rallied a bit during the trading session on Thursday, reaching towards the 1.28 handle. If we can break above there, the market is very likely to go to the 1.2850 level above. If we can break above the 1.2850 level, the market should then go to the 1.29 handle, and then the 1.2950 level after that. I think that this market will continue to be very volatile, and of course the jobs number coming out of both Canada and the United States will have a major influence on both currencies.
While most people will be paying attention to the USD/JPY pair, I’ll be paying attention to this one. While the jobs number coming out of both economies can cause massive amounts of volatility, that’s exactly what I’m looking for. If we get some type of significant in balance as to the numbers, then it becomes a quite easy trade to take. If for example, the Canadians have a great jobs number while the Americans have a weak one, then it’s obvious that you should be shorting this pair. On the other hand, if the situation is reversed, this market should rally from here. I expect volatility in general, but I recognize that it is going to be quiet between now and the announcement overall.
USD/CAD Video 06.04.18
This article was originally posted on FX Empire
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