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 Download
EUR/USD
Bullish
GBP/USD
Bullish
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
Bearish
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
Bitcoin
Bearish
More View more
Real Time News
  • The $USD may rise against the Norwegian #Krone and Swedish #Krona in the week ahead as panic about the #coronavirus inflames demand for anti-risk FX at the expense of cycle-sensitive assets. Get your market update from @ZabelinDimitri here:https://t.co/9Dqik0Xj2u https://t.co/wTkPVLVYun
  • The $JPY may rise as the S&P 500 outlook risks shifting more bearish on signals in trader positioning. What is the road ahead for USD/JPY given the outbreak of the coronavirus? Find out from @ddubrovskyFX here:https://t.co/1B6fkUQmem https://t.co/MMAZhdkogT
  • Commodities Update: As of 03:00, these are your best and worst performers based on the London trading schedule: Gold: 0.00% Silver: -1.09% Oil - US Crude: -2.95% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/DZRNhJUklr
  • Asia Equities Update [delayed]: Nikkei 225 (-3.48%) Shanghai Comp (-2.86%) ASX 200 (-2.86%) KOSPI (-2.94%) Check out our Analyst @DavidCottleFX for the latest news on APAC equities amid the #coronavirus here - https://www.dailyfx.com/forex/fundamental/article/special_report/2020/02/28/Asian-Stock-Prices-Wilt-Again-As-Coronavirus-Routs-Wall-St..html?CHID=9&QPID=917720&utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
  • Forex Update: As of 03:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.40% 🇬🇧GBP: -0.03% 🇨🇭CHF: -0.14% 🇨🇦CAD: -0.33% 🇦🇺AUD: -0.48% 🇳🇿NZD: -0.84% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/nYMxSnskuL
  • Regional #stockmarkets were naturally hammered following a scary day on #WallStreet. Currencies were pressured too, but with broader differences in fortunes as markets price in lower US borrowing costs. #coronavirus, #AUSUSD, #NZDUSD, #USDJPY, #ASX200 https://www.dailyfx.com/forex/fundamental/article/special_report/2020/02/28/Asian-Stock-Prices-Wilt-Again-As-Coronavirus-Routs-Wall-St..html?utm_source=Twitter&utm_medium=Cottle&utm_campaign=twr
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.05%, while traders in USD/CAD are at opposite extremes with 68.07%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/3gSaJJnsPg
  • U.S. Vice President Mike Pence: Risk of spread of the coronavirus in the country remains low -BBG
  • Here is some more perspective: 2018 United States population = 327.2m (via U.S. Census Bureau) #coronavirus https://t.co/gzWCmasWCT
  • China's 290m rural workers' employment hit by the #coronavirus, says Human Resources Vice Minister You Jun -BBG
Canadian Dollar Strength Threatened by BoC Rate Decision

Canadian Dollar Strength Threatened by BoC Rate Decision

2011-10-21 22:29:00
Michael Boutros, Technical Strategist
Share:
Canadian_Dollar_Strength_Threatened_by_BoC_Rate_Decision_body_Picture_5.png, Canadian Dollar Strength Threatened by BoC Rate DecisionCanadian_Dollar_Strength_Threatened_by_BoC_Rate_Decision_body_Picture_6.png, Canadian Dollar Strength Threatened by BoC Rate Decision

Fundamental Forecast for Canadian Dollar: Neutral

The Canadian dollar was virtually unchanged at the close of trade this week with the loonie posting a marginal advance of 0.10%. The week has been marked by massive swings in risk sentiment as conflicting and often erroneous reports out of Europe saw hopes for a euro “resolution” rise and fall. The loonie has continued to hold an increasingly tight correlation with the S&P 500 as improving risk appetite continues to prop the two in tandem.

CPI data out of Canada earlier today showed the pace of inflation climbing by 3.2% y/y besting calls for a read of 3.1% y/y, with the BoC Core data printing at 2.2% y/y, topping calls for a read of 2.0% y/y. Coupled with last week’s surprisingly high unemployment print, the Bank of Canada may see scope to soften its dovish stance on policy as the outlook for growth prospects continue to improve. Although interest rate expectations saw little change today, expectations could get a boost next week with retail sales data expected to show further improvement in consumer spending with consensus estimates calling for a print of 0.3% m/m, up from a previous read of -0.6% y/y.

Highlighting next week’s economic calendar will be the Bank of Canada interest rate decision on Tuesday. Although the central bank is widely expected to leave rates unchanged at 1.00%, traders will be closely eying the accompanying statement for insight into future monetary policy. Although domestic growth concerns have started to ease, increased speculation of further debt contagion from Europe may see the BoC may continue to sound a cautious outlook. With expectations that European officials will announce an ‘ambitious’ rescue plan to shore up distressed banks and stem the threat of contagion next week, risk broader market sentiment remains to the downside. Should leaders fail to satisfy markets that the situation is under control, it’s likely that risk assets will see a large reversal with such a scenario likely to weigh heavily on the loonie. Accordingly the Bank of Canada may continue to sight concerns about global growth and fragility in financial markets as the European debt threat looms over central banks around the world.

The USD/CAD pair broke out of a weeklong wedge formation on Friday before finding solace just above the 100% Fibonacci extension taken from the October 18th and 20th crests at 1.0070. Interim support holds here with a break below eyeing subsequent floors at 1.0050, 10025, and parity. Interim resistance holds at the 76.4% extension at 1.0110 backed by the 61.8% extension at 1.0135 and 1.0180. A breach above this week’s highs at 1.0260 risks significant losses for the greenback with topside targets eyed at 1.0325. -MB

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

DISCLOSURES

News & Analysis at your fingertips.