Today's powerful move higher has taken USDCAD to the most positive levels since Q2 2009 and also recovered more than 76% of the fall from that year's peak.
Although some profit taking will be attracted as the dust on today's news settles, longer term investors will remain bullish of this currency pair targeting 1.2470 or even 1.2601 in the coming weeks.…Continue
Added by Alan Collins on January 21, 2015 at 3:57pm — No Comments
Early gains Thursday failed close to 1.2000 but the key factor is that the powerful subsequent decline of almost 2 big figures was equally aggressively reversed into the close. This rejection of levels beneath the 13 day moving average emphasises the relevance of the positive Keltner channel and we look for the upside to continue to develop towards 1.2018 and 1.2042.…Continue
Added by Alan Collins on January 16, 2015 at 6:56am — No Comments
An aggressive sell-off in late trading proved temporary yesterday with the bounce taking prices back near to opening levels. This rally keeps USDCAD close to the upper band of a rising Keltner channel and although an almost unchanged close reflects uncertainty intraday momentum and strength indicators are positive targeting 1.1655, 1.1674 and 1.1695.…Continue
The previous week's rejection of the lows extended last week. 4 of the last 5 days posted positive performances with the 13 day moving average supporting. This latest upside took USDCAD to the top of both daily & weekly Keltner channels, momentum is bullish and strength indicators positive and so although signals for sentiment are overbought there is no sign yet of anything other than temporary and limited profit taking and we look for gains to develop further with potential to 1.1628…Continue
The bulk of last week's trading was around the 13 day moving average as the pullback from 5 year highs consolidated. However after the week's top was rejected on Thursday, more significant selling pressure developed to take USDCAD clearly below the 13 day line and to test the top of the daily Ichimoku Cloud. An early reaction to this move is expected but with sentiment now negative with potential through 1.1192 to 1.1143.…Continue
Added by Alan Collins on November 24, 2014 at 7:38am — No Comments
Initial demand took USDCAD to the most positive levels traded for 5 years last week. Although last week ended with some sharp profit taking, a 2nd positive weekly performance in a row, bullish daily & weekly Keltner channels and the support of the 13 day moving average keep the focus on the topside with targets of 1.1400 and 1.1468.…Continue
Added by Alan Collins on November 10, 2014 at 8:17am — No Comments
The sequence of 3 up weeks ended with the market unable to sustain prices beyond a 50% correction of the fall from this year’s top, 1.0949. The most negative performance for 7 weeks resulted from this price action. This downside stalled on Friday around the 13/100/200 day moving averages and this introduces a note of caution but sentiment is left negative with only the…Continue
Added by Alan Collins on August 18, 2014 at 7:25am — No Comments
Following a week of indecisive trading, last week saw a renewal of investor demand. This continued the rally from this month’s low and took USDCAD to the highest levels for 5 weeks. This move was dominated by Friday’s powerful gains and although a failure to break through the 200 day avg or the Marabuzo line created 5 weeks previously concerns, the support offered by the 13 day avg last week, and a move to the top of a rising Keltner channel gives scope for the upside to extend to 1.0857 and…Continue
Added by Alan Collins on July 28, 2014 at 7:58am — No Comments
The gradual decline from April’s top stalled, and reversed last week. These gains, although dominated by Monday’s turnaround in investor sentiment, regained more than 3 weeks of downside, traded and sustained levels above the 13 day avg and took USDCAD to the top of an increasingly positive Keltner channel.
A note of caution is introduced by the last 2 days stalling but signals for sentiment are assessed as positive with potential towards 1.1022 and 1.1054.…Continue
Added by Alan Collins on June 9, 2014 at 6:31am — No Comments
The steady decline from last week's highs, and levels beyond the 13 day moving average, deepened yesterday. Net losses were modest but the underlying emphasised by the production of a 3rd down day in a row. Sentiment is oversold and until this month’s base is exceeded signals cannot be strong but sentiment is mildly negative with potential through 1.0814 to 1.0795 and 1.0777.Continue
Added by Alan Collins on May 27, 2014 at 6:19am — No Comments
UBS - "Financial markets are giving out inconsistent signals. A firmer yen, stronger Treasuries and bunds, weaker Eurozone peripheral bonds and lower stocks point to increased risk aversion. But the Swiss franc is weakening while commodity currencies are stable. The major currencies are more likely still to be driven by shifts in monetary policy. The Federal Reserve is set to keep tapering, helping the dollar recover from this year's lows. The likelihood of European Central Bank easing next…Continue
Added by Francesc Riverola on May 19, 2014 at 10:08am — No Comments
UBS - "The dollar continues to trade at weak levels against the euro, pound and Swiss franc as the Federal Reserve is still printing money and buying bonds. In the week ahead the Federal Open Market Committee is likely to taper its asset purchases by another $10bn to $45bn a month. We expect the greenback to rise across the board as the end of quantitative easing comes into sight by the autumn. But this month's FOMC decision may only provide marginal support to the dollar as the Fed will…Continue
Added by Francesc Riverola on April 28, 2014 at 9:19am — No Comments
The setback from this year’s high continued last week with an expected 2nd down week in a row. This move lower, dominated by selling at the beginning and end of the week, took USDCAD to 4 week lows and consolidated prices within the Ichimoku Cloud. These are not strong signals but supported by negative 3cA studies and with the 13 day m.a capping we look for the downside to develop with potential to 1.0911 and 1.0870.…Continue
Added by Alan Collins on April 7, 2014 at 7:29am — No Comments
Expected selling pressure last week was confirmed as the rejection of levels near the 50% correction point (1.1236, 2009-11 fall) was shown important. Although the 13 day m.a, and a Marabuzo line from Jan 22nd, held the downside for the bulk of the week, Fri’s selling confirmed a more negative tone. In fact, last week's performance was the most bearish since September and formed a Bearish Engulfing pattern on weekly candle charts.
So, although some volatility must be…Continue
Added by Alan Collins on February 10, 2014 at 7:28am — No Comments
UBS - "In the next three months the Federal Reserve, European Central Bank and the Banks of Japan and England will all publish new economic projections. The upcoming forecast rounds will be important for currencies as they have the potential to shift the course of monetary policy across the major economies.
(...) This week's key points for currencies are:
- stronger data challenging Fed's forecasts
- ECB to keep explicit easing bias in the week ahead
- Japanese CPI…
Added by Francesc Riverola on February 3, 2014 at 11:46am — No Comments
For the 3rd day in succession there was limited net movement in USDCAD Monday. This keeps the currency pair consolidating near the top of what is still a positively trending Keltner channel. More importantly last Wed’s Marabuzo line was untested and the lows were firmly rejected. This keeps underlying sentiment as positive and so we look for gradual gains to continue with potential to 1.1137 and 1.1174.…Continue
Despite last week's profit taking, the background to USDCAD is dominated by a positive Keltner channel,a Marabuzo line created 6 weeks ago and investor buying on short-term setbacks.
An early move through 1.0698 is looked for as confirmation but December's 1.0738 44 month highs is a potential focus.…
Added by ZeusFXTrader on December 31, 2013 at 7:08am — No Comments
Added by ZeusFXTrader on December 10, 2013 at 6:14am — No Comments
Added by ZeusFXTrader on December 10, 2013 at 5:43am — No Comments