OPEC in focus, WTI at upper trend line – Forex trading on CAD/CHF [Video]
|We have been following the bull run on WTI and we see price action at the upper trend line.
If you are new to trading crude oil, you must take into account both technical and fundamental analysis.
For example, here we have the Energy Economic Calendar which not only shows us the weekly Inventory reports, which often affect the markets, but the OPEC meetings tomorrow.
OPEC meetings always mean that producers will announce either production cuts, which means higher prices, or production increases which will result in lower prices.
On the technical side, we still have price action in a rising wedge, MACD is bullish, and the stochastic oscillator is heading for overbought.
Will we see a reversal?
Keep an eye on everything and the psychological level of $85.
We all know that of all the currencies we trade, CAD reacts directly with the price of crude oil.
Here we see the correlation between WTI and CADCHF so, if you prefer to trade a forex pair over a commodity, follow CAD for price action opportunities.
Also, we have important CAD economic news this week with Employment data on Friday.
Of course, we have lots of USD economic news this week including a speech by Jerome Powell and the Non-Farm Payrolls so watch for volatility and opportunities on USD pairs.
Overall, USD has been stronger over the last 2 weeks, especially against CHF, EUR and NZD, so we will look for pullbacks during and after the news.
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