|Day's Range||0.752 - 0.763|
|52 Week Range||0.7476 - 0.8290|
Though the dollar has been moving from strength to strength, the strong oil prices have been helping the CAD strength and keeping a cap on the pair so far
The pair has broken out higher over the last 24 hours and continues to piggy back on the dollar strength
The USD/CAD is supported at 61.8 and 78.6 fib retracement of the last swing. 1.3166-84 is the first POC zone, where the bounce is possible, while the POC2 is 1.3125-1.3140. Both zones could be valid for longs providing that W L3 holds – 1.3110. Targets are 1.3220 and 1.3264. Continuation is only possible above 1.3265 towards 1.3307.
Employment numbers give the Aussie Dollar a boost as focus shifts to today’s stats out of the UK. Another set of weak numbers and the Pound could be looking at sub-$1.30 levels, progress on Brexit doing few favors.
In case the quote fails to cross the 1.3265 immediate barrier, it can revisit the 1.3220-15 zone, breaking which 1.3160 and an upward slanting TL, at 1.3125, may confine the pair’s following declines. While USDCAD has another resistance to break after clearing an intermediate hurdle, the GBPCAD’s recent break of ascending trend-line can’t be termed as a sign of its plunge unless closing below the 1.7160 TL-mark on a daily basis.
Worse CPI in the UK sends the GBP lower. On the GBPCAD it helps to break the long-term up trendline and the lower line of the rectangle. That is a strong sell.
The pair has been chopping around and looking for direction over the last few days
Softer economic growth in China weighed on risk appetite early in the day, with the U.S – Russia Summit, trade tariff chatter and U.S retail sales figures in focus through the day.
USDCAD’s bounce off the three-month old ascending trend-line presently struggles with 1.3200-1.3210 horizontal-region in order to justify its strength in targeting the 1.3260 and the 1.3340 resistances. In case the pair manage to extend its recovery beyond 1.3340 on a daily closing basis, the 1.3385 and the 1.3470, comprising 61.8% FE can please the Bulls. On the contrary, the 1.3130-20 is likely immediate support for the pair to test during its pullback before revisiting the 1.3060 TL figure. Assuming that the quote keep declining beneath the 1.3060, the 50-day SMA level of 1. ...
The USD/CAD has made a U-turn from the W L3 level, after a breakout of inverted head and shoulders pattern. At this point, 1.3150-75 is the POC zone, and we might see a bounce from the zone during the London/New York session. Targets are 1.3220 and 1.3250. Continuation is only possible at the 4h close or strong 1h momentum above 1.3250 which should initially be hard to break due to the weekly/daily pivot confluence. If the price breaks it, 1.3290 should be next.
the ECB will be releasing its monetary policy meeting minutes. The minutes cover the June ECB meeting where policymakers announced a taper to the QE program and an exit from QE by December 2018.
The Canadian Dollar (CAD) is an important currency part of the Forex dashboard. As part of the DXY (Dollar Index), where it holds almost a ten percent stake, the CAD reflects the strengths and weaknesses of the Canadian economy. Part of NAFTA (North America Free Trade Agreement), Canada has a performant economic model many countries only dream about.
The pair has been continuing to range and consolidate as the weakness in both the currencies continue to grip the pair
The economic calendar today will see investors shifting focus to the BoC’s monetary policy meeting. Chances of a rate hike remain high as the economists polled expect to see the BoC raising rates by 25 basis points at today’s meeting.
The pair had been under pressure since the beginnng of the week but has since bounced back from the range lows
In absence of any major market moving economic releases, the USD/oil price dynamics might continue to act as key determinants of the pair’s momentum ahead of the latest Bank of Canada monetary policy update on Wednesday. The Bank of Canada is expected to raise interest rates at its meeting on Wednesday this week. The latest data released on Friday was, on net, a tad soft with the Trade balance and employment data.
Concerns over a fourth rate hike in 2018 and safe-haven buying due to the escalation of the trade dispute between the United States and China, drove U.S. Treasury yields lower. This made the U.S. Dollar a less attractive investment against the Australian, New Zealand and Canadian Dollars. Additionally, the tightening of the spread between U.S. Government bond yields and Japanese Government bond yields, pressured the USD/JPY last week.
The pair has been under continuing pressure due to the CAD strength aided by strong oil prices
While receding political pressure at Germany helped the EURUSD witness its latest recovery, short-term symmetrical-triangle is likely to confine the pair’s immediate moves. As a result, the 1.1680 can become adjacent resistance for traders to watch, breaking which the 1.1725 may offer intermediate halt prior to fueling the quote towards two-month old descending TL, at 1.1775. In case if the pair continue rising after 1.1775, the 1.1825 and the 1.1850-55 horizontal-region could entertain the Bulls. On the contrary, the 1. ...
Now that the second quarter of the year is about to end, it is time to look back and see what the main events on the currency market were. For once, both technical and fundamental analysis was right pointing to a higher USD. Despite the Fed raising rates and ECB keeping the critical interest rate level into negative territory, the EURUSD rose from 1.06 to over 1.20.