|Day's Range||0.759 - 0.766|
|52 Week Range||0.7476 - 0.8290|
The U.S. dollar looks listless on Friday, sliding against a handful of its major rivals but rallying against some emerging markets as investors assess the state of risk sentiment amid worries over further sanctions on Turkey.
Disappointing US Macro data & positive Canadian manufacturing sales data provided CAD with strong support ahead of Canadian CPI scheduled to release today as both sides of pair try to gain upper hand on last trading session for the week.
EURCAD’s U-turn from 1.4800-1.4795 can’t be considered as a sign of its strength as 1.5005-10 and the 1.5060 barriers still stand tall to restrict the pair’s upside momentum. Given the pair rallies above 0.9665, the 0.9700 and the 0.9725 could mark their presence as quotes.
Weak USD following news of Sino-U.S Talks and Spike in U.S Crude Oil Inventory helped Loonie gain upper hand against US Greenback.
USDCAD turns range bound as both pairs are driven by news based momentum with both side of pair lacking a news strong enough to gain upper hand.
USDCAD lost ground on Tuesday as Crude Oil price gained momentum post Saudi Arabia’s production cuts which boosted commodity linked currency Loonie in global market.
Last week was great for the USD. Dollar Index made new long-term highs and the EURUSD broke important supports. On almost all instruments with the USD, we can find interesting setups. Today, we present you the USDCAD, where the buy signal is still relatively fresh.
USDCAD range bound as decline in the Turkish Lira now seems to have come to a pause while bearish factors on Loonie’s end failed to boost US Greenback.
On Friday, the U.S. Dollar Index spiked to its highest level since May 17, 2017 after the Euro plunged against the greenback to its lowest level in more than a year as a steep drop in the Turkish Lira sparked a massive flight-to-safety exodus into the dollar.
USDCAD is expected to continue moving uptrend as USD remains strong in broad market while macro updates scheduled in Canadian calendar today have dovish forecast.
The dollar is also being supported because the U.K. can’t agree on a Brexit strategy. The New Zealand Reserve Bank said earlier today that it won’t raise rates until 2020. The European Central Bank is only preparing its plan to end stimulus and Saudi Arabia is signal handedly weakening the Canadian Dollar by ordering money managers to dump the Loonie.
Although 50-day & 100-day SMA has been restricting the USDCAD moves since last fortnight, the 1.2960-55 support-confluence, comprising 100-day SMA & an ascending TL, could keep indicating the pair’s upside with 1.3060 being immediate resistances to tackle before confronting the 50-day SMA level of 1.3115. Given the pair’s ability to close beyond the 1.3115, the 1.3190 and the downward slanting trend-line, at 1.3215, seem crucial to watch as they hold the door for the quote’s rally towards the 1.3265, the 1.3340 and the 1.3385 resistances.
USDCAD pair is currently stable above 1.3000 handle after decline influenced by Saudi Arabia’s instructions to sell Canadian equities as investors await US inflation & Canadian housing stats/Employment data.
“We expect to keep the OCR at this through 2019 and into 2020, lower than we projected in our May Statement,” RBNZ Governor Adrian Orr said in the opening lines of the statement.
By Fergal Smith TORONTO (Reuters) - The Canadian dollar weakened to a two-week low against its U.S. counterpart on Wednesday but pared its losses as investors decided that the impact on the currency of potential Canadian asset sales by Saudi Arabia will be short-lived. The Saudi central bank and state pension funds have instructed their overseas asset managers to dispose of their Canadian equities, bonds and cash holdings "no matter the cost", after Ottawa criticized the arrest of a female activist, the Financial Times reported, citing sources. "There has been some two-way volatility, indicative of not just price pressures on commodity currencies but also, of course, the headlines about Saudi Arabia," said Bipan Rai, executive director and North America head, FX strategy at CIBC Capital Markets.
Dovish outcome in Canada’s Ivey PMI & range bound crude oil price action helps USD regain upper hand despite USD’s weakness in broad market.
It looks like USDCAD is ready to finish the bearish correction. It looks like EURUSD is getting ready for another bearish wave. Today, sellers crashed this stronghold, which confirms the long-term sell signal created by the double top formation and two shooting stars on the weekly chart.
Crude oil price action and profit booking activity surrounding US Greenback in broad market has favored CAD bulls as USDCAD pair moves below 1.30 handle.
Loonie takes a bearish hit as Saudi Arabia freezes all trade investment in Canada
A hawkish Federal Reserve helped drive the greenback higher on Wednesday after the central bank gave an upbeat assessment of the world’s biggest economy and stayed on course to gradually lift interest rates. The U.S. Dollar suffered a slight setback on Friday against a basket of currencies after data showed U.S. job growth slowed in July. Additionally, the greenback also slipped against the Yuan after the Chinese central bank acted to stabilize the currency by stemming speculation against it.
Absence of strong up-moves after the USDCAD’s recent U-turn isn’t a sign of its fresh south-run as 100-day SMA and support-line of short-term descending trend-channel, at 1.2965-60, still stand tall to limit the pair’s decline. In case if the pair refrains to respect the 1.2965-60 support-confluence, more than six-month old ascending trend-line, near 1.2920, followed by the 1.2900 round-figure, could challenge the sellers. Assuming that the quote closes beneath the 1.2900 mark on a D1 basis, then it can plunge to 1.2800 and the 1.2740 support-levels. On the upside, the 1. ...
The pair looks to US NFP & Canadian trade balance data for trigger to breakout from this week’s price range limitations.
* Canadian dollar at C$1.3021, or 76.80 U.S. cents * Price of U.S. oil falls 0.4 percent * Bond prices lower across much of the yield curve TORONTO, Aug 2 (Reuters) - The Canadian dollar edged lower against its broadly stronger U.S. counterpart on Thursday as oil and stock prices fell following a flare-up in the trade tensions between the United States and China. Stocks fell globally, while the U.S. dollar rose against a basket of major currencies and the Chinese yuan after U.S. administration officials said on Wednesday that President Donald Trump was proposing a 25 percent tariff on $200 billion worth of Chinese imports.
Yahoo Finance's Alexis Christoforous and Jared Blikre break down the latest market action after the U.S. announced new tariffs of 25% on $16 billion worth of goods against China, which subsequently retaliated similarly.
Yahoo Finance's Alexis Christoforous and Jared Blikre break down the latest market action after the July BLS Employment Situation report missed on its headline number but was in-line on most key metrics.