The USDCAD is currently in retracement mode on higher time frames. Housing prices in Canada dropped from a 3y high reading (231.3 to 198.1) and we could also read OECD forecasts that Canada's Eco growth will slow down this year.

The correlation on H4 timeframe is highly negative with GBPUSD and strong negative with EURUSD so if those pairs are heading down, USDCAD will surge up. Currently USDCAD is very close to POC which comes in 1.3215-35 zone and is already started to reject it. POC is showing inverted Head and Shoulders variant 2 pattern (LeanedInv Head and Shoulders) with L3, previous swing and EMA 89. The zone could reject the pair towards 1.3320 and 1.3370. Additionally H4 timeframe is showing higher high and higher low so when we zoom in to H1 timeframe, we see POC clearly.

USDCAD

The analysis and the article presents Nenad's opinion. Remember, financial trading is highly speculative & may lead to the loss of your funds. Proper risk management is the Holy Grail of trading.

Recommended Content


Recommended Content

Editors’ Picks

EUR/USD drops below 1.0800 after German Retail Sales data

EUR/USD drops below 1.0800 after German Retail Sales data

EUR/USD has come under fresh selling pressure and trades below 1.0800 after the data from Germany showed that Retail Sales declined by 1.9% MoM in February. Resurgent US Dollar demand is adding to the downside in the pair. US data are next in focus. 

EUR/USD News

GBP/USD stays weak near 1.2600 amid market caution

GBP/USD stays weak near 1.2600 amid market caution

GBP/USD remains defensive near 1.2600 in European trading on Thursday. The hawkish tone from Fed Governor Christopher Waller keeps the US Dollar afloat amid a cautious trading environment ahead of key US data releases and the Good Friday trading lull. 

GBP/USD News

Gold price holds strength ahead of US core PCE inflation

Gold price holds strength ahead of US core PCE inflation

Gold price holds onto gains near $2,200 in Thursday’s European session. The precious metal exhibits firm footing ahead of the United States core PCE Price Index data for February, which will be published on Friday. 

Gold News

XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC

XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC

XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase. 

Read more

Portfolio rebalancing and reflation trades emerge into Q2

Portfolio rebalancing and reflation trades emerge into Q2

Yesterday’s price action pointed at a possible end-of-quarter portfolio rebalancing as the session saw the laggards of the quarter like Apple and Tesla gain, and the stars like Microsoft and Nvidia retreat.

Read more

Majors

Cryptocurrencies

Signatures