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.



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
Oil - US Crude
Wall Street
More View more
Real Time News
  • Indices Update: As of 17:00, these are your best and worst performers based on the London trading schedule: US 500: 1.15% Wall Street: 0.59% FTSE 100: 0.09% Germany 30: 0.08% France 40: 0.05% View the performance of all markets via
  • Joe Biden is officially sworn in as President of the United States.
  • Joe Biden sworn in as 46th President of the US. $USD
  • Heads Up:🇬🇧 BoE Gov Bailey Speech due at 17:00 GMT (15min)
  • $EURCAD fell from around 1.5440 to around 1.5300, hitting its lowest level since early July, following no change to BoC's policy and a press conference from BoC Gov. Macklem. $EUR $CAD
  • $EURUSD is bouncing between well-established technical levels - to the upside the midpoint of the pair's historical range and head-and-shoulders neckline. Downside, 38.2% Fib of past three months run and 50 DMA
  • BoC Governor Macklem: - Rise in Canadian Dollar does pose some risk - We don't target the Canadian Dollar - Most appreciation in Canadian Dollar is coming from broad-based depreciation of US Dollar #BoC $CAD
  • BoC Governor Macklem - Micro-cut is one option available to the BoC - If we see further appreciation of CAD that will become more of a headwind and that presents downward risk to our projections $CAD
  • BoC Governor Macklem: - We could increase pace or shift composition of QE purchases - Yield curve control is an option - BoC reviews the full range of options and will use these options if necessary #BoC $CAD
  • Hey traders! Get your Wednesday market update from @DailyFX Chief Strategist @JohnKicklighter 👇. He covers the US Presidential inauguration and more!
Canadian Dollar Price Outlook: USD/CAD Initializes Bullish Break Out

Canadian Dollar Price Outlook: USD/CAD Initializes Bullish Break Out

Peter Hanks, Analyst

USD/CAD Price Forecast:

  • USD/CAD consolidated between 1.3345 and 1.2951 for months
  • A break above resistance may allow the pair to continue higher in the days to come
  • IG Client Sentiment Data reveals retail traders remain overwhelmingly short USD/CAD, a potential sign of further bullishness

Canadian Dollar Price Outlook: USD/CAD Initializes Bullish Break Out

USD/CAD rallied above resistance last week as risk aversion ran rampant and stocks were battered beneath support on fears the coronavirus will hamstring the global economy. In turn, crude oil entered deeper into a bear market as the demand outlook for the commodity was reassessed. Together, the two developments – risk aversion and weaker global growth expectations – likely played major roles in the USD/CAD break out.

With technical resistance at 1.3345 pierced as a result, the pair can look to continue higher after months of consolidation. Further, near-term retracements will have to negotiate prior topside barriers as they turn to support. With that in mind, it seems as though USD/CAD is poised to continue higher and target possible resistance around 1.3446 and 1.3500 if it can successfully hold above 1.3345 in the days ahead.

USD/CAD Price Chart: Daily Time Frame (May 2018 – March 2020)

Canadian Dollar Price Outlook: USD/CAD Initializes Bullish Break Out

While there are bullish cases to be made, a continuation higher is far from certain and is unlikely to occur in a single move. A long upper wick on Friday’s daily candle hints at waning bullish interest and the pair has already probed support early in Monday trading. Consequently, a break beneath 1.3345 may see USD/CAD request further assistance at the ascending trendline and 200-day simple moving average around 1.3200 in the days to come.

Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily 13% -41% -8%
Weekly 7% -24% -2%
What does it mean for price action?
Get My Guide

Still, IG Client Sentiment Data suggests the pair may continue higher in the weeks ahead. In the meantime, follow @PeterHanksFX on Twitter for updates.

--Written by Peter Hanks, Junior Analyst for

Contact and follow Peter on Twitter @PeterHanksFX

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