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
Bullish
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
GBP/USD
Mixed
USD/JPY
Mixed
Gold
Bullish
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
Mixed
More View more
Real Time News
  • EUR/USD has been weakening since the start of 2020 and the decline has accelerated this month. At some point there will be a correction but further losses are still likely as the year progresses. Get your $EURUSD market update from @MartinSEssex here: https://t.co/ieJUBNeAIf https://t.co/Dw4f7DQocg
  • The $AUD has risen in anticipation of a deal Washington and Beijing. But the Australia-China trade relationship has not suffered much and may even have been helped by China’s spat with the US. Get your market update from @DavidCottleFX here:https://t.co/An7h5X0Zcz https://t.co/Rn7mLbS1EF
  • 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/0Wn4xBL0AY
  • Do you know which type of stock is the right investment for you? Stock types help investors decide on specific #stocks to trade or assist with valuation methods either fundamentally or technically. Learn more about stock types here: https://t.co/yO3JalkqUU https://t.co/RoNdExHAdt
  • The status of the US #dollar as the safe-haven asset of choice remains untouched and any weakness in the greenback is likely to be short-lived. Get your $USD market update from @nickcawley1 here: https://t.co/LO2u38jpUT https://t.co/ctgCJSOeTH
  • #FTSE 100 testing key support as the index lacks a directional bias. #DAX reverses off channel top. Get your indices technical analysis from @JMcQueenFX here: https://t.co/IHF2dgMfg9 https://t.co/2fMTFlOeTR
  • With knowledge of price action, traders can perform a wide range of technical analysis functions without the necessity of any indicators, including management of risk. Build on you knowledge of price action here: https://t.co/9hQA0bsYtt https://t.co/5KQowxuiBf
  • The term ‘Ichimoku,’ literally means ‘one glance,’ in Japanese. Ichimoku, or the one glance indicator, is considered to be a self-contained system in the fact that no additional indicators are necessary. Learn more about the 'one glance' indicator here: https://t.co/T7o7W9C0Ro https://t.co/7bhBfWvEkR
  • Support and resistance are the cornerstone of technical analysis, making it the foundation that you build your knowledge on. Build a stronger foundation here: https://t.co/yXLaRpl90I https://t.co/85JHunf2Xf
  • Many traders ask how a trading method that is 77 years old is applicable today. Learn about the Gartley pattern and see how you can incorporate it into your trading style here: https://t.co/2yPmGH0XvT https://t.co/rtqUKZSdn1
Canadian Dollar Price Outlook – USD/CAD Turn Puts Focus on Downside

Canadian Dollar Price Outlook – USD/CAD Turn Puts Focus on Downside

2020-02-13 12:00:00
Paul Robinson, Currency Strategist
Share:

USD/CAD Technical Highlights:

  • USD/CAD turned down off key area of resistance
  • Recent history suggests more weakness ahead
  • A breakout above 13382 needed to get things moving higher

USD/CAD snuck above the 2016 trend-line, but was quickly met by a stack of resistance soon after. The couple of weeks spent around 13320 back in late November, early December proved to be too much as price action started to lose momentum.

The turn down has thus come as little surprise, especially when you throw into the mix that FX volatility is trading at record lows. That doesn’t make for a strong backdrop for breakout conditions, especially when by recent standards USD/CAD had become extended.

But, given that last year was the smallest trading range since 1996 it is likely at somepoint this year we will see a range expansion. I’m still leaning towards that being to the upside, but not until a full clearance of highs back to September can be made. The threshold that needs to be crossed is 13382.

Looking at the near-term, the risk is that a further retracement is in order. How clean the move is yet to be determined. So far the two-day move off the high has held some power, but it would be unsurprising even if price is to move lower that we don’t first see some short-term choppiness.

Tactically speaking, as long as USD/CAD stays below 13329 in the short-term then the other levels up to 13382 won’t be threatened. The first level of support to watch is the 200-day at 13222, but after that there isn’t any meaningful price support until under 13000. That doesn’t mean price must fall that far before finding buyers again, but it does make a downside target unclear. Watching how any sell-off develops momentum from here will be the key.

USD Forecast
USD Forecast
Recommended by Paul Robinson
Get Your Q1 Dollar Forecast Here
Get My Guide

USD/CAD Daily Chart (turned down from resistance)

USD/CAD daily chart

USD/CAD Chart by TradingView

***Updates will be provided on the above thoughts and others in the trading/technical outlook webinars held at 1030 GMT on Tuesday and Friday. If you are looking for ideas and feedback on how to improve your overall approach to trading, join me on Thursday each week for the Becoming a Better Trader webinar series.

Resources for Forex & CFD Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at @PaulRobinsonFX

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

DISCLOSURES

News & Analysis at your fingertips.