USD/CAD

The Canadian dollar has continued to strengthen alongside oil prices in recent days, sending USD/CAD to a near 5-week low, GBP/CAD beneath its 200-day EMA and CAD/JPY to within striking distance of its 2022 high. Today’s Canadian inflation data could prove volatile for USD/CAD ahead of tomorrow’s FOMC meeting.

Technical analysis shows WTI may be getting stretched while USD/CAD could have further to fall...

The USD is on the cusp of flipping to net-long exposure among G10 currencies according to data compiled by IMM (International Monetary Market). And despite the resurgence of US dollar strength, oil continues to perform well and market positioning is looking increasingly bullish for the weeks or even months ahead.

The US Dollar is holding near resistance ahead of high-impact data, with tomorrow’s CPI release followed by the Thursday ECB rate decision, and then next week’s FOMC meeting.

Welcome to Technical Tuesday, a weekly report where we highlight some of the most interesting markets that will hopefully appease technical analysts and traders alike. In this edition of Technical Tuesday, we will analyse the EUR/USD, USD/CAD and gold. The EUR/USD was clinging onto the 1.07 handle at the time of writing. The lower highs and lower lows on the EUR/USD mean that the technical outlook remains bearish until the charts tell us otherwise.

The bullish move in USD/CAD has been pronounced after the pair bottomed in July, but now the question of topping starts to come in as a major resistance level has come back into the picture.

Welcome to another edition of Forex Friday, a weekly report in which we highlight selected currency themes. In this week’s report, we will focus the US dollar, gold, USD/CAD and EUR/USD, ahead of next week’s key events: US CPI and ECB policy decision.

The Bank of Canada (BOC) are expected to hold rates at today’s meeting, given GDP unexpectedly contracted in Q2. Still, implied volatility has spiked higher for USD/CAD. Perhaps the BOC pause will not be as dovish as expected, Fed members tout a hold or the rise of bond yields (and therefore the US dollar) lose steam. If so, USD/CAD may be better for short bets beneath the April highs.

The USD/CAD outlook is subject to a major revision this week with investors looking forward to the release of US CPI and a rate decision from the Bank of Canada.

Much of the price action among FX majors during the Asian session was dedicated to retracing against Friday’s moves (which saw the US dollar strengthen, but not by much). The majority of daily ranges for FX majors are below 55% and 1-day implied volatility is also below historical volatility levels which warns of a quieter start to the week. Today's charts looks at potential opportunities on EUR/USD and USD/CAD.

Welcome to another edition of Forex Friday, a weekly report in which we discuss selected currency themes mainly from a macro viewpoint, but we also throw in a pinch of technical analysis here and there. In this week’s shortened report, we will discuss the USD/CAD pair outlook, and look forward to next week’s key events affecting this pair.

Today's release of stronger US data helped to fuel a rally in US dollar, helping to support the USD/CAD outlook. If today’s bullish price action is confirmed on a closing basis, then the Loonie is one to watch out for on the long side.

Key inflation reports for Canada and Australia will be released over the next 24 hours which could have a direct impact on interest rate decisions for the BOC and RBA.

USD/CAD is falling to test a key trend line after the BOC surprised markets with a 25bps interest rate increase

The sell-off has been trigged by broad US dollar weakness ahead of the US nonfarm jobs report on Friday. Consequently, the USD/CAD outlook has turned bearish, at least in the short-term anyway.

With USD/CAD trading near the middle of this week’s range around 1.3500, short-term traders could consider quick trades within the symmetrical triangle pattern...

USD/CAD is probing its lowest level in months in the mid-1.3300s - will it break down?