EUR/USD 1.15389
0.092%
Gold 4325.95
-0.575%
Oil 80.464
0.050%
USD/JPY 159.346
-0.097%
GBP/USD 1.34973
0.088%
GBP/JPY 215.079
-0.012%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
Indonesian President: Danantara Sumberdaya will strengthen oversight of strategic commodity exports at 50 ports.Central Bank of Malaysia: The rise in commodity prices caused by the Middle East conflict is expected to put upward pressure on inflation; however, the impact is expected to be contained.Sources say Goldman Sachs is in talks with potential investors about participating in Nvidias (NVDA.O) $500 billion AI funding round.On August 14, Hengfu Holdings (00641.HK) announced that trading in its shares on the Hong Kong Stock Exchange was temporarily suspended from 9:00 a.m. on Friday, August 14, 2026, pending the publication of further information regarding the placement of new shares.August 14th - Speculative investors are increasingly betting on another rate hike by the Reserve Bank of Australia (RBA) in November, as inflation remains above the central banks target. Swap market pricing currently estimates a 45% probability of a 25 basis point rate hike by November, up from 38% before Tuesdays RBA rate decision. Trading activity in the November 2026 interbank cash rate futures contract, traded on the Australian Securities Exchange (ASX) derivatives market, rose to a more than three-month high, indicating increased speculative interest. These bets suggest growing market skepticism that the RBAs tightening cycle is not yet over. Although policymakers kept rates unchanged this week, traders will continue to watch upcoming price and employment market data for clues as inflation remains above the RBAs 2%-3% target range.

As investors wait for US/Canada employment data, the USD/CAD trading range is limited to 40 pips

Daniel Rogers

Apr 06, 2023 13:36

 USD:CAD.png

 

The USD/CAD pair retraced below 1.3450 in the early Asian session as the US Dollar Index (DXY) lost upside momentum after reaching the key resistance level of 102.00. As investors anticipate the release of the United States/Canada Employment data, the Canadian dollar is expected to deliver a dazzling performance.

 

As a consequence of a decline in Job Openings and sluggish additions of new positions, as measured by Automatic Data Processing, firms have slackened recruitment efforts, thereby alleviating the tight US labor market. (ADP). This has led to expectations that the Federal Reserve (Fed) will keep interest rates unchanged at its May meeting.

 

In the interim, S&P500 futures have resumed their downward trend, indicating a cautious market sentiment.

 

Employment data will influence the Canadian Dollar. The consensus estimate for Net Change in Employment is 12K, which is a decrease from the previous release of 21.8K. The estimated unemployment rate is 5.1%, up from 5.0% previously.

 

The USD/CAD exchange rate is exhibiting an Inverted Flag pattern on an hourly time frame. The Inverted Flag is a trend-following pattern that consists of a protracted consolidation followed by a decline. Participants prefer to enter an auction after a bearish bias has been established, and current vendors increase their position size during the consolidation phase of a chart pattern.

 

The Canadian dollar was unable to maintain a position above the 50-period Exponential Moving Average (EMA) at 1.3458, indicating that further declines are imminent.

 

Meanwhile, the Relative Strength Index (RSI) (14) has an upper limit of 60.00. A violation of the unfavorable 20.00-40.00 range will trigger downward momentum.

 

A break below the low of April 04, 1.3406, would expose the asset to a fresh six-week low around 1.3350, the low of February 6 followed by round-number support at 1.3300.

 

In an alternative scenario, a move above the psychological resistance of 1.3500 would lend momentum to US Dollar supporters, propelling the asset toward the 31- and 29-March highs of 1.3559 and 1.3619, respectively.


Suggestion