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
EUR/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
Oil - US Crude
Bearish
Wall Street
Bullish
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Bullish
More View more
Real Time News
  • Indices Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Germany 30: 1.33% France 40: 1.21% Wall Street: 0.29% US 500: 0.26% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/wVfG8eTkn4
  • The $USD suddenly seems scarce amid the #coronavirus outbreak. That threatens short-term financing underpinning global supply chains, despite the Fed’s epic efforts. Get your US Dollar market update from @DavidCottleFX here:https://t.co/D2p2VlkpJi https://t.co/GgQN6zFGG0
  • My trading video for today: 'S&P 500 Closes Best Week in 45 Years Unperturbed by Data, Helped by Fed' https://www.dailyfx.com/forex/video/daily_news_report/2020/04/10/SP-500-Closes-Best-Week-in-45-Years-Unperturbed-by-Data-Helped-by-Fed.html?ref-author=Kicklighter&QPID=917719&CHID=9
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 95.22%, while traders in Wall Street are at opposite extremes with 78.06%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/35HQhfNLVr
  • Forex Update: As of 04:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.12% 🇨🇦CAD: 0.11% 🇪🇺EUR: 0.09% 🇬🇧GBP: 0.04% 🇦🇺AUD: 0.03% 🇳🇿NZD: 0.01% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/eTpRMCtc2k
  • Indices Update: As of 04:00, these are your best and worst performers based on the London trading schedule: Germany 30: 1.33% France 40: 1.21% Wall Street: 0.29% US 500: 0.26% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/okA8WJ8OLb
  • #Gold prices well-supported as keeping interest rates ultra-low in response to the 2008 global financial crisis proves problematic for fighting the next one, the #coronavirus outbreak. Get your $XAUUSD market update from @DavidCottleFX here:https://t.co/zNpjufGv2b https://t.co/iUtAYQYi8D
  • #Dow Jones, DAX 40 and CAC 40 short exposure has been rising alongside their recent ascents. What can this mean for the outlook in global stock markets? Find out from @ddubrovskyFX here:https://t.co/NBlD6xlQRb https://t.co/Ra6C480Czl
  • Commodities Update: As of 02:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 1.18% Silver: 0.00% Gold: 0.00% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/BBFCXmkgWy
  • Forex Update: As of 02:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: -0.00% 🇪🇺EUR: -0.01% 🇯🇵JPY: -0.02% 🇦🇺AUD: -0.09% 🇨🇦CAD: -0.11% 🇳🇿NZD: -0.12% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/sN5ig7prHE
Canadian Dollar Price Forecast: USD/CAD Ascent Slows at Resistance

Canadian Dollar Price Forecast: USD/CAD Ascent Slows at Resistance

2020-03-11 22:30:00
Peter Hanks, Analyst
Share:

USD/CAD Price Forecast:

  • USD/CAD could enjoy an extension higher as risk assets and crude oil crumble
  • An initial barrier to further gains may reside around the 1.38 level and the pair’s 2017 high
  • IG Client Sentiment Data reveals retail traders remain overwhelmingly short USD/CAD, a potential sign of further bullishness

Canadian Dollar Price Forecast: USD/CAD Ascent Slows at Resistance

USD/CAD experienced a significant gap higher on Monday as stocks and crude oil collapsed, and risk aversion raged. As a result, the pair extended beyond its recent consolidation range, a zone in which it traded for the better part of a year. As markets progress into the latter half of the week, USD/CAD has slowed its climb as it encounters resistance around the 1.38 mark.

USD/CAD Price Chart: Daily Time Frame (January 2016 – March 2020)

canadian dollar price chart daily

The level coincides with the pair’s 2017 peak and will likely pose notable resistance to a continuation higher. Should it fail, subsequent barriers are relatively sparse until the 1.4000 mark and a secondary boundary offered by the Fibonacci line at 1.4070. Together, the zone could look to stall a prolonged extension should risk aversion spike again or renewed crude oil weakness weigh on the Canadian Dollar.

{{SENTIMENT||USDCAD}}

On the other hand, the pair could enjoy support at the nearby 1.3590 band with initial support potentially resting at the 1.3686 Fibonacci level. Given the pair’s meteoric rise, consolidation may be required before a continuation higher can be pursued.

Starts in:
Live now:
Apr 16
( 15:04 GMT )
Recommended by Peter Hanks
Trader's Toolbox: How to Identify Price Trends with Trader Sentiment
Register for webinar
Join now
Webinar has ended

That being said, it may only be a matter of time until bullishness resumes as IG Client Sentiment Data reveals retail traders are net-short USD/CAD. To learn more on how to incorporate the data into your trading strategy, sign up for my webinar below. In the meantime, follow @PeterHanksFX on Twitter for updates.

--Written by Peter Hanks, Junior Analyst for DailyFX.com

Contact and follow Peter on Twitter @PeterHanksFX

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

DISCLOSURES

News & Analysis at your fingertips.