USDCAD rose significantly this past week, climbing from 1.2512 at the open to as high as 1.2949 Friday. The surge can be attributed to the slide in crude oil prices. Oil and USDCAD are known to have an inverse correlation due to the heavy reliance of the Canada’s economy on the commodity. And while the…
USDCAD Bears Paying the Price for Failing at 1.3069
A week ago, USDCAD was barely holding above 1.3100. The pair was still in the doldrums following a steep decline from its late-December high of 1.3665 and it appeared the bears had no intention of leaving. But in order to confirm their ambitions to drag USDCAD even lower, they first had to deal with the…
A Month Ahead of USDCAD ‘s Bullish Reversal
USDCAD finished 2018 in a positive mood. The pair reached 1.3665 on the last day of last year, but 2019 has not been so generous to the bulls so far. By February 1st, the rate was down to 1.3069, losing over 4.3% in just a month. But let’s take a step back and see where…
USDCAD Rewards the Most Patient Among Bulls
USDCAD climbed to 1.3318 yesterday and seems determined to reach a new 2018 high. The most important reason for the decline in the Loonie is maybe the decline in the price of oil. Unlike crude’s sharp drop, however, USDCAD’s recovery did not develop so smoothly. For every step forward the bulls have been making one…
USDCAD Unreliable Resistance Identified in Advance
After slightly exceeding 1.3000 on October 8th, USDCAD retreated to 1.2926 two days later. Given that the pair has been declining since the 1.3386 top registered in late-June, assuming the bears are returning was quite justified. In addition, there was a declining trend line, which had previously led to significant selloffs on two separate occasions.…
A Week of Trend Reversals in the Forex Market
The Forex market was very interesting to observe last week. Major news like the Non-Farm Payrolls report in the U.S., the new trade deal between the USA, Canada and Mexico, and Bank of Japan’s determination to keep fighting deflation all contributed to an eventful five days in the world’s largest market. News and events is…
USDCAD Down After a Tricky Elliott Wave Pattern
USDCAD climbed to 1.3290 on July 19th, but instead of lifting the pair even higher, the bulls lost momentum. A bearish reversal followed as a result. By July 25th, when we had to send our next update to subscribers, USDCAD was down to 1.3135. Was it a buy-the-dip opportunity or the beginning of a bigger…
USDCAD Lost Over 300 Pips in Two Weeks. Here is Why
USDCAD climbed to 1.3386 on June 27th, which was its highest level in over a year. But instead of moving on to 1.3400 and above, the bulls stepped aside and allowed the bears to drag the pair to as low as 1.3077 on July 6th. And while this slump can be explained with the surge…
USDCAD Walks the Path to Month-Old Target
USDCAD bulls proved how stubborn they could be by lifting the pair to a one-year high, despite the numerous bearish interventions along the way. During the last month, USDCAD has been slowly progressing in a choppy and overlapping manner as U.S. – Canada relations took a turn for the worse following the G7 summit. The…
USDCAD Selloff: Non-Farm Payrolls Just an Excuse
The last time we wrote about USDCAD, it was hovering around 1.29, after a decline from 1.3125. In a video, published on March 28th, we demonstrated how Elliott Wave traders got ahead of the bearish reversal that occurred a week earlier. Two weeks later now, the bulls are yet to find a way to fight…
USDCAD Bears Land a Heavy, but Predictable Punch
1.2900 has been a tough nut to crack for USDCAD bulls. First, they failed to breach it in late-October 2017. Then they tried again a month later, but the attempt was once again unsuccessful. The third try was in mid-December 2017, but after a swift touch of 1.2921, the pair plunged to as low as…
Canadian Dollar Weakness Anticipated by Elliott Wave
Canadian dollar bulls had another week to forget, after the USDCAD rate surged from a low of 1.2615 on Monday to nearly 1.2900 so far. There have been two fundamental factors that applied pressure on the Loonie – the decline in crude oil prices and Donald Trump’s intention to impose import tariffs of 10% on…
USDCAD and Crude Oil Abandon Negative Correlation
Between 2000 and 2016, USDCAD and crude oil had a negative correlation in 93% of the time. Canada is one of the world’s biggest oil producers and the largest oil supplier to the United States. So, when U.S. demand for oil rises, demand for Canadian dollars rises, as well, thus hurting the USDCAD exchange rate.…
USDCAD’s Sudden, but Natural Plunge Explained
USDCAD’s lost ground this week reminds traders just how quickly things change in the Forex market. A week ago, on Friday 9th, the pair touched 1.2688. Five trading days later, the greenback is down to 1.2450 against the Canadian counterpart for a total loss of 238 pips or 1,88%. Higher inflation is considered as the…
USDCAD Ahead of the ADP Report with Elliott Wave
Last week, USDCAD crashed from 1.2909 to as low as 1.2680. This week, the pair initially fell to 1.2623, but quickly reversed to the north again and now appears determined to regain all of last week’s losses. As of this writing, it trades near 1.2870. While the upbeat ADP report on the US private sector…
