Skip to Content
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
USD/CAD Trades Off Highs as GDP Misses Forecast

USD/CAD Trades Off Highs as GDP Misses Forecast

Walker England, Forex Trading Instructor

Talking Points:

  • USD/CAD Trades Off Highs as Canadian GDP Misses Forecast
  • Sentiment Figures Remain Extreme at -2.11
  • Looking for more trade ideas for the Forex market? Register for our Q2 price forecast HERE.

The USD/CAD continues to rally higher this week after breaking out above the key 1.3600 level on Tuesday. For Friday’s trading, the pair is now hovering off of new 2017 highs at 1.3671 after this morning’s Canadian GDP (Gross Domestic Product) data release. Expectations for CAD GDP (YoY) (FEB) are forecasted at 2.6%, and released at an actual 2.5%. As one of the last high importance events of the week, traders should continue to monitor the USD/CAD for increased volatility during today’s session.

Technically the USD/CAD may be considered in an uptrend, with the pair trading above both its 10 day EMA at 1.3539 and 200 day MVA at 1.3288 Traders should note that if the USD/CAD closes higher today, it will mark the 6th consecutive higher close for the pair. In the event of bearish reversal, traders should first look for the USD/CAD to trade back below 1.3600. A move below 1.3600 may then expose other values of support, including the 10 day EMA at 1.3539.

USD/CAD, Daily Chart & Averages

(Created Using IG Charts)

How can market sentiment be worked into your active trading strategy? Get our Free sentiment guide here.

Going into this morning’s GDP data release, USD/CAD sentiment remains at extremes. Currently IG Client Sentiment totals read at -2.11 with 32.2% of traders net-long the pair. With the majority of traders short, typically this suggests that the USD/CAD may continue to trade higher. In the event of a fresh bullish breakout, traders should look for sentiment values to stay at negative extremes. However in the event of a bearish reversal, traders should look for IG Client sentiment to move off of their present values back towards a more neutral reading.

--- Written by Walker, Analyst for

To Receive Walkers’ analysis directly via email, please SIGN UP HERE

See Walker’s most recent articles at his Bio Page.

Contact and Follow Walker on Twitter @WEnglandFX.

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