Mid-Week update for North-American Markets – After a long, prosperous peace trading period, Markets are starting to get afraid again from Iran and Kevin Warsh news. Taking a close look at NA index and currency performance combined with a USD/CAD intraday chart to spot what's next for American Markets.
USD/CAD Price Forecast: Needs to sustain above 50% Fibo retracement to extend rally
Canada just delivered an inflation undershoot that should have seen USD/CAD launch like a rocket, especially with the big dollar ripping higher against the other major currencies on Tuesday. Instead, the pair printed what looks like a topping signal.
The trading week has not been entirely favorable for the Canadian dollar in the short term, as USD/CAD has shown upward strength over the last three sessions, with a gain of around 0.3%. This indicates that US dollar strength is becoming increasingly present in the pair's recent price action.
Canadian Dollar slips as Iran peace hopes cap Oil; USD/CAD climbs to 1.3750 on firmer USD
USD/CAD Price Forecast: 50% Fibo retracement near 1.3755 acts as key barrier
Intraday analysis covering USDCAD pushing higher, EURGBP, and US 30, focusing on short-term price action, key support and resistance levels, and intraday market momentum across major instruments. USDCAD pushing higher The greenback remains bullish against its neighbour after hitting another higher high.
The interest rate differential continues to be the biggest thing in most pairs at the moment.
Michael Boutros, FOREX.com Senior Market Analyst, analyzes USD/CAD as the pair tests a critical resistance zone following a sharp rebound from yearly lows. He breaks down the technical confluence driving this move, key levels to watch for continuation or reversal, and how shifting Federal Reserve expectations after hotter inflation data are influencing currency markets.
As the trading week progresses, a clear short-term weakness in the Canadian dollar has started to emerge, as USD/CAD is showing a gain of nearly 0.3% in the session in favor of the US dollar.
USD/CAD Price Forecast: Prepares for fresh rally above 1.3700
USD/CAD Price Forecast: Neutral RSI and soft ADX signal lack of strong directional momentum