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
Bearish
GBP/USD
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
USD/JPY
Mixed
Gold
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
Mixed
Bitcoin
Mixed
More View more
Notice

DailyFX PLUS Content Now Available Freely to all DailyFX Users

Real Time News
  • Part of trading is losing, that’s just a fact that everyone must accept straight away, How can #FOMO create hurdles in the process? Find out from @PaulRobinsonFX here: https://t.co/MwChGXI42z https://t.co/slj8Xr0dxH
  • #USDollar May Rise if US #GDP Data, #TradeWar Risks Spook Markets https://www.dailyfx.com/forex/fundamental/forecast/weekly/usd/2019/09/21/US-Dollar-May-Rise-if-US-GDP-Data-Trade-War-Risks-Spook-Markets.html
  • Asia #FX markets will be closely watching for developments in the ongoing China-led RCEP trade negotiations against the backdrop of slower global growth and rising protectionism. Get your market update from @ZabelinDimitri here: https://t.co/HZ8Loqj3Ey https://t.co/g332JcY549
  • What are trading journals? How can you create one and reduce your #FOMOintrading? Find out: https://t.co/0akgWbyJEw https://t.co/Xyy7rxZHip
  • 💷 $GBP British Pound Weekly Technical Outlook My latest take on Sterling price action as #Brexit risk comes back into scope. Commentary on the charts and implied volatility table included. More via @DailyFX ➡️ https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2019/09/21/gbp-to-usd-price-analysis-british-pound-eyes-rise-in-brexit-risk.html https://t.co/Hd6LAurfqG
  • The Singapore Dollar is driven by the Monetary Authority of Singapore, which manages exchange rate instead of short-term interest rates. Learn more on the $SGD and how to trade it from @ddubrovskyFX here: https://t.co/eWLM9XZs5Y https://t.co/SCHhCQhlFV
  • What are the common trading myths which can create #FOMOintrading? Find out: https://t.co/sDbOusCpzg
  • Walk through the new and improved IG Client Sentiment Data with @PeterHanksFX here: https://t.co/FTm5nXIAmq
  • Lessons from Bretton Woods are forgotten, the US-China #tradewar represents a true existential threat to the post-World War II international trade order, and in turn, the globalized economy that has grown out of the ashes of history. More from @CVecchioFX :https://t.co/paaBxX6Xt0 https://t.co/Lk229DNh6n
  • Catch up with @JStanleyFX as he walks through some FX price action setups post-FOMC. Get your recap here: https://t.co/MD2PB33t0L
USD/CAD: Canadian Dollar Soften on the Back of Weak Brent oil Price

USD/CAD: Canadian Dollar Soften on the Back of Weak Brent oil Price

2019-09-03 09:29:00
Mahmoud Alkudsi, Market Analyst
Share:

Canadian Dollar and Brent oil Price

Have you seen our newest trading guides for USD, EUR and Gold ? Download for free our latest forecasts

Bullish USD/CAD with Bearish Crude Oil

On Friday USD/CAD ended the weekly session in the red for the first time in six weeks. However, the weekly candlestick closed with a bullish Doji pattern highlighting buyers are not done yet.

On the other hand, on August 15 Brent oil corrected higher after creating a higher low at $57,47 since then, the price has been trading ineffectively.

On August 29, the Relative Strength Index (RSI) created a higher low at 55 on USD/CAD reflecting buyer’s come back. Meanwhile, the oscillator pointed lower on Brent from 52 to 45 indicating to seller’s resuming bearish momentum.

Just getting started? See our Beginners’ Guide for FX traders

USD/CAD DAILY PRICE CHART (Aug 1, 2017 – Sep 3, 2019) Zoomed Out

USDCAD price daily chart 03-09-19 Zoomed out

USD/CAD DAILY PRICE CHART (June 15 – SEp 3, 2019) Zoomed In

USDCAD price daily chart 03-09-19. Zoomed in

Looking at the daily chart, we notice at the start of the week USD/CAD opened with a gap to the upside, then rallied above the high line of the ascending tringle discussed in our previous update eyeing a test of 1.3505. The pair rebounded nearby the end of current trading zone 1.3256 -1.3357.

Therefore, any close above the high end of the zone could push USD/CAD towards the vicinity of 1.3418-22. That said, buyers would need pay a close attention at the weekly resistance area marked on the chart (zoomed in). Further close above 1.3422 may mean more bullishness towards 1.3459.

In turn, any failure in closing above the high end may reverse USD/CAD course sending the price back towards the low end. Further close below the low end could mean more bearishness towards 1.3166. With that Scenario, sellers need to consider the weekly support level underlined on the chart.

Having trouble with your trading strategy? Here’s the #1 Mistake That Traders Make

Brent Oil DAILY PRICE CHART (Aug 1, 2017 – SEP 3, 2019) Zoomed Out

Brent Oil daily chart price 03-09-19

Brent Oil DAILY PRICE CHART (June 10, 2017 – Sep 3, 2019) Zoomed In

Brent Oil daily chart price 03-09-19 zoonmed in

From the daily chart, we notice on August 15 Brent oil rebounded from the low end of current trading zone $57,60- $61,25 since then, the price stuck in this zone and failed at the end of August to continue its rally towards the high end.

Hence, a close below the low end could send the black gold towards $55,00. Although, the weekly support levels underscored on the chart (zoomed in) would be worth monitoring.

On the flip-side, any failure to close below the low end could send the price back towards the high end. Nonetheless, the weekly resistance levels underlined on the chart should be kept in focus. A close above the high end could open the door to a further bullish move towards $63.10. However, the weekly resistance levels marked on the chart need to be watched cloely.

Written By: Mahmoud Alkudsi

Please feel free to contact me on Twitter: @Malkudsi

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

DISCLOSURES

News & Analysis at your fingertips.