USD/CAD Price Forecast: Bullish Flag pattern underway
USDCAD hits major resistance The greenback fell further as traders continue to digest the ongoing peace negotiations in the Middle East. The pair progressed lower, breaking through the 1.4050 level, ensuring that the bear run remained intact.
Summary:USD/CAD climbed toward weekly highs as falling oil prices weakened the Canadian dollar despite strong domestic trade data. Canada's trade surplus reached a four-year high, but the positive economic data was overshadowed by the sharp decline in crude oil prices.
USD/CAD is rising again as oil price decline adds pressure on the loonie, but there's much more that could define its trajectory.
USD/CAD – Sell trade idea, big reward potential [Video]
USD/CAD Price Forecast: Bulls gain traction as cheaper Crude hits Loonie
It's truly a conundrum for the Bank of Japan. On one hand, they'd probably prefer it if the Japanese Yen didn't weaken dramatically against global currencies, like the US Dollar.
Over the last few sessions, the USD/CAD has seen a slight appreciation of nearly 0.3% in favor of the US dollar. However, beyond this mild bias, the broader chart picture reflects a prolonged consolidation.
USD/CAD Price Forecast: Forming a triangle pattern above 1.4000 support area
The US Dollar was active early on Monday, as the week started with a bang.
Analysts at Scotiabank expect renewed pressure on USD/CAD after its July decline, with a break below 1.4000 opening the way towards 1.3981 and the upper 1.39s. The US Dollar to Canadian Dollar exchange rate ended July near 1.4015 after falling 1.36% over the month.
USD/CAD turns bearish as five waves unfold from the highs