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. See our updated Privacy Policy here.



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

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Real Time News
  • US Senator Schumer: Senate will finish infrastructure and budget bills before August recess $USD $DXY
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 92.95%, while traders in France 40 are at opposite extremes with 81.86%. See the summary chart below and full details and charts on DailyFX:
  • Fed's Bowman: - It may take time for some people to return to work - The record number of job opportunities is a good sign
  • Fed's Bowman: - There is still work to be done to get the US economy back on track - Employment remains significantly below where it was
  • USD/CAD bounced off support, but looks only corrective in nature. Short-term charts suggest we will soon see price turn down. Get your $USDCAD market update from @PaulRobinsonFX here:
  • Indices Update: As of 18:00, these are your best and worst performers based on the London trading schedule: Wall Street: 0.60% US 500: 0.60% France 40: 0.22% Germany 30: 0.18% FTSE 100: 0.13% View the performance of all markets via
  • Heads Up:🇺🇸 Fed Clarida Speech due at 18:00 GMT (15min)
  • Bitcoin cooling off after an impressive run to end the month of July $BTCUSD #Bitcoin
  • Narrator: Not today. Nice rebound staged off that critical support level with oil and yields firming up a bit on the session. Will bulls push onward to print a higher high? $SPY #Trading #Markets
  • NY Fed accepts $909.44 billion in reverse repo operations $USD $DXY
USD/CAD Rebound Vulnerable to Strong Canada Employment Report

USD/CAD Rebound Vulnerable to Strong Canada Employment Report

David Song, Strategist

- Canada Employment to Increase for Second Time in 2016.

- Jobless Rate to Climb to Annualized 7.2%- Highest Reading Since February.

For more updates, sign up for David's e-mail distribution list.

Trading the News: Canada Net-Change in Employment

Despite forecasts for an uptick in the jobless rate, a 1.8K rebound in Canada Employment may heighten the appeal of the loonie and spur a near-term decline in USD/CAD as the data highlights an improved outlook for growth and inflation.

What’s Expected:

DailyFX Calendar

Click Here for the DailyFX Calendar

Why Is This Event Important:

Even though the Bank of Canada (BoC) retains a cautious outlook for the real economy, Governor Stephen Poloz and Co. may stick to the sidelines throughout 2016 and show a greater willingness to gradually move away from its easing cycle especially as Prime Minister Justin Trudeau implements fiscal support to encourage a stronger recovery.

Expectations: Bullish Argument/Scenario




New Housing Price Index (YoY) (APR)



Labor Productivity (QoQ) (1Q)



Existing Home Sales (MoM) (APR)



The ongoing expansion in the housing market accompanied by signs of growing business outputs may generate a meaningful rebound in job growth, and a positive employment report may spur a bullish reaction in the Canadian dollar as market participants scale back bets for a BoC rate-cut.

Risk: Bearish Argument/Scenario




International Merchandise Trade (APR)



Gross Domestic Product (Annualized) (1Q)



Retail Sales (MoM) (MAR)



Nevertheless, waning demand from home and abroad may drag on hiring, and another unexpected contraction in Canadian employment may drag on the loonie as it renews speculation for additional monetary support.

How To Trade This Event Risk(Video)

Bullish CAD Trade: Job Growth & Unemployment Rate Beat Market Expectations

  • Need to see red, five-minute candle following the release to consider a short trade on USD/CAD.
  • If market reaction favors a bullish loonie trade, sell USD/CAD with two separate position.
  • Set stop at the near-by swing high/reasonable distance from entry; look for at least 1:1 risk-to-reward.
  • Move stop to entry on remaining position once initial target is hit; set reasonable limit.

Bearish CAD Trade: Canada Employment Report Disappoints

  • Need green, five-minute candle to favor a long USD/CAD trade.
  • Implement same setup as the bullish Canadian dollar trade, just in reverse.

Potential Price Targets For The Release


USD/CAD Daily Chart
  • USD/CAD may face a near-term recovery as it comes up against channel support, with the Fibonacci overlap around 1.2620 (78.6% retracement) to 1.2650 (50% retracement) offering soft support, but the bearish formation may continue to take shape over the days ahead especially as the Relative Strength Index (RSI) preserves the downward trend carried over from earlier this year.
  • Key Resistance: 1.3560 (100% expansion) to 1.3630 (38.2% retracement)
  • Key Support: 1.2510 (78.6% retracement) to 1.2520 (38.2% expansion)

Check out the short-term technical levels that matter for USD/CAD heading into the report!

Avoid the pitfalls of trading by steering clear of classic mistakes. Review these principles in the "Traits of Successful Traders" series.

Impact that Canada Employment report has had on USD/CAD during the last release


Data Released



Pips Change

(1 Hour post event )

Pips Change

(End of Day post event)




12:30 GMT





April 2016 Canada Net-Change Employment


The Canadian economy unexpectedly shed 2.1K jobs in April following the 40.6K expansion the month prior, while the jobless rate held steady at an annualized 7.1% as the Participation Rate narrowed to 65.8% form 65.9%. A deeper look at the report showed a 2.4K contraction in full-time employment, while part-time positions increased another 0.4K following the 5.3K rise in March. Indeed, the recent weakness in the labor market may encourage the Bank of Canada (BoC) to retain a cautious outlook for the real economy, but we may see Governor Stephen Poloz and Co. gradually move away from its easing cycle following the ‘insurance’ rate-cuts in 2015. The Canadian dollar lost ground following the weaker-than-expected employment figures, with USD/CAD climbing above the 1.2900 handle to end the day at 1.2905.

Get our top trading opportunities of 2016 HERE

Read More:

Gold Prices: Finding Resistance at Old Fibonacci Support

Gold and Silver Ownership Profiles Moderate from Records

S&P 500: Shrugs off Abysmal NFPs, Undergoing Consolidation Phase

EUR/USD Long Term Bull Trend Holding Support

--- Written by David Song, Currency Analyst

To contact David, e-mail Follow me on Twitter at @DavidJSong.

To be added to David's e-mail distribution list, please follow this link.

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