|Day's Range||0.776 - 0.78|
|52 Week Range||0.7382 - 0.8290|
Global stocks are mostly higher on Monday morning as investors respond to US Treasury Secretary Steve Mnuchin positive interview. US dollar continues to strengthen.
The US dollar has rallied significantly during the week, using the 1.2750 level as support. The 1.30 level above is resistance, and the previous weekly shooting star shows signs of resistance.
The US dollar has rallied significantly against the Canadian dollar, reaching towards the 1.29 level. This is an area that has been a bit resistive in the past, so it’s no surprise that we struggled to break above it. However, there is also a massive amount of support underneath.
Canadian Prime Minister Justin Trudeau said the sticking point to renegotiating the North American Free Trade Agreement is the U.S. demand for a sunset clause. Canada and Mexico both reject the sunset clause idea. "I'm confident in saying that we have found a proposal that is broadly acceptable to the three partners and our industries on the auto side of things," he said at the Economic Club of New York.
A geo-political risk is an ever-present theme in the global financial markets and requires traders to be up to speed on global current affairs, particularly in geographies that have the ability to cause widespread economic disruption, either through supply or from a demand perspective.
The US dollar initially drifted against the Canadian dollar on Wednesday but fell when the lower oil inventory numbers came out during the day. This of course is good for the Canadian dollar, but longer-term there are other forces at work.
If we talk about the south, the pair has 1.2805-1.2800 as immediate support, breaking which an upward slanting TL, at 1.2760, and the 1.2730-25 could try disappointment Bears. Given the pair’s refrain to respect the 0.7655 mark, the 0.7615-05 support-area could limit its following declines, breaking which 0.7565 might be welcomed.
Economic data out of Japan and Australia disappointed early as the markets now look ahead to the EUR, with inflation figures and Draghi to direct the EUR ahead of the U.S session.
The US dollar has broken higher against the Canadian dollar during trading on Tuesday, breaking above the 1.29 handle. That’s a very bullish sign obviously, and I think that we are going to make another attempt to reach towards the 1.30 level above them, which has been massive resistance more than once and even on longer-term charts.
The US dollar is up today. The buck is currently making its biggest gains versus the Japanese yen and the Canadian dollar. Yesterday, the US dollar was weak during European trading hours thanks to a rebound in the euro. Later in the day, the dollar made gains following speeches from St. Louis Fed’s Bullard and US Secretary of Commerce Wilbur Ross. As US growth and inflation remains high, economic conditions remain supportive for the dollar. This is especially the case as the outlook for US growth is better than all other major regions. ...
The US dollar fell slightly against the Canadian dollar to open up the week, testing the psychologically important 1.2750 level for support. I believe that this market will continue to bounce around this area, as it has been very important more than once.
Following on from the US withdrawal from the Iran Deal, UK PM May reaffirmed her commitment to ensuring the deal is upheld.
An easing in the Dollar saw the Aussie Dollar make up some lost ground early, with geo-politics in the spotlight this week, focus being on Italy’s new coalition, trade talks between the U.S and China and on NAFTA.
The US dollar initially tried to rally during the week but found enough resistance at the 1.30 level to turn around and form a massive shooting star. This is interesting considering that the Canadian employment numbers missed on Friday, yet we are still showing signs of weakness.
The US dollar has fallen a bit during the trading session on Friday, dipping below the 1.2750 level only to turn around and rallied. This is an area that has been support in the past, and therefore I think it makes sense that we see a lot of noise.
The US dollar fell during the day on Thursday, reaching down to the 1.2750 level to find support. This is an area that has been both support and resistance in the past, and of course I think that the market reacting to this area could offer a nice trading opportunity.
The US dollar fell significantly during trading on Wednesday against the Canadian dollar, reaching into the previous consolidation area yet again. It looks as if the 1.30 level above is going to continue to offer a significant amount of resistance, so I think that the market will continue to be very noisy, and I think it will continue to recognize the 1.30 level as major resistance. It is because of this that the market breaking above there would send this market much higher.