We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bearish
GBP/USD
Mixed
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bullish
Oil - US Crude
Bearish
Bitcoin
Bearish
More View more
Real Time News
  • The $USD may fall against the Swedish Krona and Norwegian Krone if commentary from officials at the Davos forum uplift market mood and pressure haven-linked currencies. Get your market update from @ZabelinDimitri here:https://t.co/SZAG0yMu3d https://t.co/cBZj5tC0Ny
  • The $NZD is inching toward support guiding gains in the fourth quarter of 2019. A break may set the stage for long-term bearish trend resumption. Get your market update from @IlyaSpivak here:https://t.co/bnlx4RJ8oV https://t.co/d60YziMYnO
  • $Gld prices are poised to mark the highest weekly-close in nearly seven-years, but the bulls aren’t in the clear yet. Here are the XAU/USD levels that matter next week. Get your $XAUUSD technical analysis from @MBForex here: https://t.co/yeTH6HwncQ https://t.co/6sIpxTSNaX
  • Video https://t.co/PZeqhLumSR
  • The $USD rose as the Singapore Dollar, Malaysian Ringgit and Philippine Peso fell on coronavirus fears. What is the technical outlook for USD/IDR, USD/SGD, USD/MYR and USD/PHP? Find out from @ddubrovskyFX here: https://t.co/G3GmyOe4IT https://t.co/iq7ajeP6iv
  • RT @ddubrovskyFX: The Indian Rupee 2020 outlook is bearish as India faces stagflation risk amid rising onion and crude oil prices. USD/INR…
  • Bloomberg just reported that Australia confirmed its first #coronavirus case
  • Monday open volatility? https://t.co/0ElZtSfHsz
  • China confirmed 444 new cases of the #coronavirus -BBG #SP500 #Yen #USD
  • The #Euro has broken four-month support guiding a recovery against the US Dollar to suggest that the long-term downtrend has been re-engaged. Get your market update from @IlyaSpivak here: https://t.co/FHiGQZ6zvV https://t.co/2lGDCmuGab
Canadian Dollar Weekly Price Outlook: Loonie Breakout Imminent

Canadian Dollar Weekly Price Outlook: Loonie Breakout Imminent

2019-05-20 17:04:00
Michael Boutros, Technical Strategist
Share:

In this series we scale-back and look at the broader technical picture to gain a bit more perspective on where we are in trend. The Canadian Dollar is down 0.65% against the US Dollar from last week’s high with price continuing to consolidate around a key technical confluence at 1.3435. These are the updated targets and invalidation levels that matter on the USD/CAD weekly price chart. Review this week’s Strategy Webinar for an in-depth breakdown of this setup and more.

New to Forex Trading? Get started with this Free Beginners Guide

USD/CAD Weekly Price Chart

USD/CAD Price Chart - US Dollar vs Canadian Dollar Weekly

Notes: USD/CAD has continued to straddle the 2017 open / 61.8% retracement of the late-2018 decline at 1.3435/37 with the monthly opening-range still intact heading into the start of the week. Momentum indicators have flat-lined with price continuing to coil around this zone.

Key support rests with the April lows and converges on a pair of trendlines around 1.3274- a break below this zone would suggest a larger correction is underway targeting 1.3052/99- look for a bigger reaction there IF reached. A break of the monthly rang-highs would keep the focus back on 1.3647/86ta region defined by the 2017-high-week close, 61.8% retracement of the 2016 decline and the 2018 high.

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

Bottom line: The immediate focus is on a breakout of the May range between 1.3377 - 1.3505 for guidance. From a trading standpoint, the near-term risk is weighted to the downside after Friday’s reversal but initial monthly-open support rests just lower at 1.3388. I’ll publish an updated USD/CAD Price Outlook once we get further clarity in near-term price action.

Even the most seasoned traders need a reminder every now and then- Avoid these Mistakes in your trading

USD/CAD Trader Sentiment

USD/CAD Trader Sentiment - US Dollar vs Canadian Dollar Price Chart
  • A summary of IG Client Sentiment shows traders are net-short USD/CAD - the ratio stands at -1.52 (39.7% of traders are long) – weak bullish reading
  • Traders have remained net-short since May 1st; price has moved 0.1% lower since then
  • Long positions are 42.6% higher than yesterday and 21.0% higher from last week
  • Short positions are 13.8% lower than yesterday and 18.6% lower from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-short suggests USD/CAD prices may continue to rise. Yet traders are less net-short than yesterday and compared with last week. Recent changes in sentiment warn that the current USD/CAD price trend may soon reverse lower despite the fact traders remain net-short.

See how shifts in USD/CAD retail positioning are impacting trend- Learn more about sentiment!

---

Previous Weekly Technical Charts

Learn how to Trade with Confidence in our Free Trading Guide

--- Written by Michael Boutros, Technical Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.