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
Subscribe
Please try again
EUR/USD
Mixed
Oil - US Crude
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
Wall Street
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
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
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM7kO6a https://t.co/2dtD007LPu
  • 🇯🇵 Core Inflation Rate YoY (MAR) Actual: -0.1% Expected: -0.1% Previous: -0.4% https://www.dailyfx.com/economic-calendar#2021-04-22
  • 🇯🇵 Inflation Rate Ex-Food and Energy YoY (MAR) Actual: 0.3% Previous: 0.2% https://www.dailyfx.com/economic-calendar#2021-04-22
  • 🇯🇵 Inflation Rate YoY (MAR) Actual: -0.2% Previous: -0.4% https://www.dailyfx.com/economic-calendar#2021-04-22
  • Heads Up:🇯🇵 Core Inflation Rate YoY (MAR) due at 23:30 GMT (15min) Expected: -0.1% Previous: -0.4% https://www.dailyfx.com/economic-calendar#2021-04-22
  • Heads Up:🇯🇵 Inflation Rate Ex-Food and Energy YoY (MAR) due at 23:30 GMT (15min) Previous: 0.2% https://www.dailyfx.com/economic-calendar#2021-04-22
  • Heads Up:🇯🇵 Inflation Rate YoY (MAR) due at 23:30 GMT (15min) Previous: -0.4% https://www.dailyfx.com/economic-calendar#2021-04-22
  • 🇬🇧 Gfk Consumer Confidence (APR) Actual: -15 Expected: -12 Previous: -16 https://www.dailyfx.com/economic-calendar#2021-04-22
  • 🇦🇺 Markit Manufacturing PMI Flash (APR) Actual: 59.6 Previous: 56.8 https://www.dailyfx.com/economic-calendar#2021-04-22
  • 🇦🇺 Markit Services PMI Flash (APR) Actual: 58.6 Previous: 55.5 https://www.dailyfx.com/economic-calendar#2021-04-22
Canadian Dollar Outlook: USD/CAD Slides into Support– Loonie Trade Levels

Canadian Dollar Outlook: USD/CAD Slides into Support– Loonie Trade Levels

Michael Boutros, Strategist

The Canadian Dollar rallied more than 0.6% against the US Dollar this week with USD/CAD testing a key near-term support barrier on Friday. These are the updated targets and invalidation levels that matter on the USD/CAD price charts heading into next week. Review my latest Weekly Strategy Webinar for an in-depth breakdown of this gold price setup and more.

Forex for Beginners
Forex for Beginners
Recommended by Michael Boutros
New to Forex Trading? Get started with this Beginners Guide
Get My Guide

Canadian Dollar Price Chart – USD/CAD Daily

Canadian Dollar Price Chart - USD/CAD Daily - Loonie Technical Outlook

Chart Prepared by Michael Boutros, Technical Strategist; USD/CAD on Tradingview

Technical Outlook: The Canadian Dollar is approaching a key level with USD/CAD trading just above the 61.8% retracement of the July advance at 1.3155 with the median-line of the broader descending pitchfork formation resting just lower. A break / close below this zone is needed to mark resumption with such a scenario targeting the October low-day close at 1.3086. Monthly open resistance stands at 1.3270 with a close above the 75% parallel needed to shift the focus back to the long-side.

Canadian Dollar Price Chart – USD/CAD 120min

Canadian Dollar Price Chart - USD/CAD 120min - Loonie Technical Outlook

Notes: A closer look at Loonie price action shows USD/CAD trading within the confines of a near-term descending pitchfork formation extending off the November highs. Note that the lower parallel rests just below the 61.8% retracement of the October advance at 1.3151 – a break sub-1.3134 would clear the way for a larger decline targeting the 100% extension at the 1.31-handle backed by 1.3086.

Initial resistance stands with the 25% parallel backed by 1.3210. We’ll reserve the 61.8% retracement of the decline at 1.3225 as our near-term bearish invalidation level- strength beyond this threshold would once again shift the focus toward the monthly open at 1.3270.

Bottom line: USD/CAD is testing slope support into the close of the week with the immediate short bias at risk while above 1.3134/51. From at trading standpoint, a good spot to reduce short-exposure / lower protective stops. We’ll be looking for exhaustion on a rebound heading into the median-line for possible entries. Review my latest Canadian Dollar Weekly Price Outlook for a closer look at the longer-term USD/CAD technical trading levels.

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

Canadian Dollar Trader Sentiment – USD/CAD Price Chart

Canadian Dollar Trader Sentiment - USD/CAD Price Chart
  • A summary of IG Client Sentiment shows traders are net-long USD/CAD - the ratio stands at +1.08 (51.85% of traders are long) – neutral reading
  • Long positions are6.13% lower than yesterday and 1.51% higher from last week
  • Short positions are2.49% lower than yesterday and 18.91% 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 less net-long than yesterday but more net-long from last week and the combination of current positioning and recent changes gives us a further mixed USD/CAD trading bias from a sentiment standpoint.
USD/CAD Mixed
Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily -10% 11% -5%
Weekly 18% -27% 1%
Learn how shifts in USD/CAD retail positioning impact trend
Get My Guide

---

Active Trade Setups

- Written by Michael Boutros, 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