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
Bearish
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
Bullish
More View more
Real Time News
  • The #ASX 200 stock index hit record highs this year but those days seem unlikely to return anytime soon as even equity buckles before the #coronavirus outbreak. Get your market update from @DavidCottleFX here: https://t.co/HlZhPBsZ6X https://t.co/Rvfnt44wTm
  • Housing data may be more heavily scrutinized in 2020 as softer global growth places more stress on the consumer to keep the American economy afloat. Get your market update from @ZabelinDimitri here: https://t.co/ms4EGbJ1WF https://t.co/EOwX7DLGZZ
  • What are the truths and lies of #forex trading regardless of your #tradingstyle here: https://t.co/uF75VPzstr https://t.co/k1USOdlHiR
  • How can traders avoid #FOMO in trading? Start by implementing a well-heeled plan taking only four hours per week. Get your insight from @JStanleyFX here: https://t.co/vwUShQPc27 #tradingstyle https://t.co/6l6t02a61R
  • The $NZD may fall versus the Australian Dollar on a more-dovish #RBNZ down the road. “Risk-neutral” AUD/NZD has been maintaining composure as stocks sell off on coronavirus fears. Get your NZD market update from @ddubrovskyFX here: https://t.co/3OtpuHRHBv https://t.co/wYiiLdtmur
  • #Copper prices are rapidly approaching a 17-year uptrend as concern about the #coronavirus threatens to thwart global stabilization and demand for the growth-oriented commodity. Get your market update from @ZabelinDimitri here:https://t.co/2RbfvVZOxX https://t.co/m3EJI8sksF
  • My trading video for the weekend: 'S&P 500, Yen, Gold - A Lot Rides On Weekend Appeals and Monday's Open' https://www.dailyfx.com/forex/video/daily_news_report/2020/02/29/SP-500-Yen-Gold---A-Lot-Rides-On-Weekend-Appeals-and-Mondays-Open.html?ref-author=Kicklighter&QPID=917719&CHID=9
  • The $USD technical outlook is still pointing higher against the Malaysian Ringgit and Philippine Peso following near-term weakness. What is the road ahead for USD/MYR and USD/PHP? Find out from @ddubrovskyFX here: https://t.co/IQUjFt8CVE https://t.co/8rSTyzBf9U
  • That is....that is not good. I am frankly shocked they let a number like that print https://t.co/HauBmn8w3X
  • The $NZD may fall versus the Australian Dollar on a more-dovish RBNZ down the road. “Risk-neutral” AUD/NZD has been maintaining composure as stocks sell off on coronavirus fears. Get your @ddubrovskyFX here: https://t.co/3OtpuHRHBv https://t.co/zW4D14QGVT
Canadian Dollar Due For Correction, Australian Dollar To Hold Broad Range

Canadian Dollar Due For Correction, Australian Dollar To Hold Broad Range

2011-02-21 16:51:00
David Song, Currency Strategist
Share:

Daily Winners and Losers

Canadian_Dollar_Due_For_Correction_Australian_Dollar_To_Hold_Broad_Range_body_ScreenShot029.png, Canadian Dollar Due For Correction, Australian Dollar To Hold Broad Range

Currency

Last

High

Low

Daily Change (pip)

Daily Range (pip)

USDCAD

0.9833

0.9872

0.9822

31

50

Canadian_Dollar_Due_For_Correction_Australian_Dollar_To_Hold_Broad_Range_body_ScreenShot028.png, Canadian Dollar Due For Correction, Australian Dollar To Hold Broad Range

The Canadian dollar pare the advance from Friday, with the USD/CAD falling back to a low of 0.9822, but the near-term decline in the exchange rate could be short-lived as investors scale back their appetite for risk. The dollar-loonie remains 30 pips lower on the day after moving 72% of its average true range, and the small rebound in the exchange rate may gather pace throughout the North American trade as the relative strength index bounces back from 30. In turn, the USD/CAD may cross back above the 120-SMA (0.9844) to close the gap from the 240-SMA at 0.9858, and a short-term correction may emerge in the days ahead as price action continues to bounce along the lower bound of the downward trending channel that was carried over from the previous year. However, as the dollar-loonie remains capped by 0.9900, the 78.6% Fibonacci retracement from the 2007 low to the 2009 high, the exchange rate may trend sideways going into March, and the pair may offer currency traders an opportunity to play the range as it continues to find support ahead of 0.9800.Nevertheless, as retail spending in Canada is expected to hold flat in December, a dismal sales report could fuel the rebound in the USD/CAD, but we are likely to see the loonie outperform against the greenback over the near-term as economic activity in Canada continues to outpace the recovery in the U.S.

Key Levels/Indicators

Level/Indicator

Level

20-Day SMA

0.9909

10-Day SMA

0.9885

2011 Low

0.9815

Daily RSI

39

Upcoming Events

GMT

Importance

Release

Expected

Prior

13:30

HIGH

Retail Sales (MoM) (DEC)

0.0%

1.3%

13:30

LOW

Retail Sales Less Autos (MoM) (DEC)

0.6%

1.0%

Currency

Last

High

Low

Daily Change (pip)

Daily Range (pip)

AUDUSD

1.0084

1.0154

1.0081

44

73

Canadian_Dollar_Due_For_Correction_Australian_Dollar_To_Hold_Broad_Range_body_ScreenShot027.png, Canadian Dollar Due For Correction, Australian Dollar To Hold Broad Range

The rally in the Australian dollar was short-lived as the exchange rate fell back to a low of 1.0085 on Monday, and the exchange rate may continue to push lower throughout the North American trade as it carves out a top in February. The AUD/USD is 40+ points lower from the open after moving 75% of its ATR, and the pair may work its way back towards the 240-SMA at 1.0056 as risk appetite falters. If the recent downturn in the exchange rate gathers pace, the pair may fall back towards 0.9800 as it searches for support, and the aussie-dollar may trend sideways in the month ahead as it maintains the broad range from earlier this year. However, as the RSI continues to hold above 30, we may see a small correction unfold going into the Asian session, which could lead pair to retrace the overnight decline and push the exchange rate back above 1.0100. As the AUD/USD maintains a 500 point range, currency traders certainly have an opportunity to take advantage of the range bound price action, and we should see the pair continue to trend sideways going forward as the short-term moving averages (10, 20, and 50 day) converge with one another.

Key Levels/Indicators

Level/Indicator

Level

10-Day SMA

1.0069

20-Day SMA

1.0055

50-Day SMA

1.0017

100-Day SMA

0.9936

Join us to discuss the outlook for the major currencies on the DailyFXForums

To discuss this report contact David Song, Currency Analyst: dsong@dailyfx.com

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

DISCLOSURES

News & Analysis at your fingertips.