News & Analysis at your fingertips.

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.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
EUR/USD
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
Oil - US Crude
Mixed
Wall Street
Bearish
Gold
Bearish
GBP/USD
Mixed
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
USD/JPY
Bearish
More View more
Real Time News
  • #SP500 teetering on frequently-tested support at 3282.3. See my full take in my daily election and market update at 23:00 GMT. https://t.co/aRlCRLosqw
  • Vote on House Stopgap funding bill expected this Tuesday according to aide - BBG
  • Commodities Update: As of 18:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 0.00% Gold: -2.17% Silver: -8.68% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/5abU7hof5c
  • Poll: Many are weighing their market convictions today, so it is worth running a poll. Do you think the break lower today from the S&P 500, global indices, emg markets, carry and other 'risk' assets is the start of a lasting bear wave (ie a weeks long and -10%-plus rout)?
  • #Gold technical support zone discussed in today's webinar catching the lows. . . $XAUUSD - https://t.co/4s1mlKp2rr https://t.co/vZYjrSVNJZ
  • RT @USCBO: By the end of 2020, federal debt held by the public is projected to equal 98% of GDP. The projected budget deficits would boost…
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.33%, while traders in NZD/USD are at opposite extremes with 66.21%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/6wPYEEd6ni
  • US Dollar drives higher as market sentiment and liquidity conditions deteriorate further. Get your $USD market update from @RichDvorakFX here: https://t.co/5ldnNrMj7e https://t.co/GWtgHwH71m
  • Indices Update: As of 18:00, these are your best and worst performers based on the London trading schedule: France 40: 0.69% Germany 30: 0.66% FTSE 100: 0.49% US 500: -2.09% Wall Street: -2.78% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/YVW1rqCX8O
  • #Gold fell roughly -2.5% Monday morning as markets awoke to a surge in volatility. Get your $XAUUSD market update from @PeterHanksFX here: https://t.co/RR62qDzpnu https://t.co/zkUfxyuDTM
Loonie Weekly Price Outlook: USD/CAD Breakdown Targets Yearly Lows

Loonie Weekly Price Outlook: USD/CAD Breakdown Targets Yearly Lows

2019-06-26 17:00:00
Michael Boutros, Strategist
Share:

The US Dollar is down nearly 3% against the Canadian Dollar since the yearly highs registered last month with the decline now targeting the 2019 range-lows. These are the updated targets and invalidation levels that matter on the USD/CAD weekly chart. Review this week’s Strategy Webinar for an in-depth breakdown of this Loonie setup and more.

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

USD/CAD Price Chart – Loonie Weekly

USD/CAD Price Chart - Loonie Weekly - US Dollar vs Canadian Dollar Technical Outlook

Notes: In my last USD/CAD Weekly Price Outlook we noted a key support zone, “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.” Price marked an outside-weekly reversal to close below 1.3274 last week with price now probing four-month lows. Note that weekly RSI held sub-60 throughout the early-2019 advance and suggests the broader risk remains weighted to the downside from a momentum standpoint.

Key support remains at the yearly opening-range lows / 38.2% retracement at 1.3052/68 – ultimately a break below the 100% extension at 1.2969 is needed to suggest a more significant correction is underway. Interim resistance now stands back at 1.3274 with bearish invalidation now lowered to 1.3435/37.

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

Bottom line:The focus remains on a drop towards key support at 1.3052/68 on the back of last week’s reversal. From a trading standpoint, look to reduce short-exposure / lower protective stops on a move towards the yearly range lows- look for a reaction there. We’ll favor fading weakness sub-1.3274 for now. Review my latest USD/CAD Technical Outlook for a closer look at the near-term Loonie trading levels.

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 - Loonie Positioning - USD/CAD Price Chart
  • A summary of IG Client Sentiment shows traders are net-long USD/CAD - the ratio stands at +1.04 (51.1% of traders are long) – neutral reading
  • Long positions are 7.1% higher than yesterday and 34.5% higher from last week
  • Short positions are 6.0% lower than yesterday and 29.0% lower from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests USD/CAD prices may continue to fall. Traders are further net-long than yesterday and last week, and the combination of current positioning and recent changes gives us a stronger USD/CAD-bearish contrarian trading bias from a sentiment standpoint.

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

---

Key US / Canada Data Releases

US / Canada Data Releases - USD/CAD Economic Calendar - Loonie Price Outlook

Economic Calendar - latest economic developments and upcoming event risk. Learn more about how we Trade the News in our Free Guide!

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