CAD powers higher, all eyes on NFP

Kenny Fisher MarketPulse

The Canadian dollar has posted slight losses on Friday. In the North American session, USD/CAD is trading at 1.2176, up 0.22% on the day.

The Canadian currency continues to head higher. On Thursday, the Canadian dollar sparkled, gaining 0.95%, its highest 1-day gain in 2021. USD/CAD fell 2.15% in April and is down 0.95% so far in May, as the Canadian dollar is trading at its highest level since September 2017.

Canada has a commodity-based economy, and this week’s rally in oil prices has lifted the Canadian dollar. As well, copper is trading at an all-time high, and Canada is one of the world’s major copper producers. A stronger global demand for commodities bodes well for the Canadian dollar.

Will US nonfarm payrolls exceed the one-million mark?

All eyes will be on US nonfarm payrolls for April, which will be released later today (12:30 GMT). The ADP Employment Report is not considered a reliable gauge for the official NFP, but investors couldn’t help notice that the ADP reading jumped to 742 thousand, up from 514 thousand. Nonfarm payrolls climbed to 916 thousand in March and with a forecast of 990 thousand, a reading above the symbolic one-million mark is certainly within reach. If nonfarm payrolls outperform, it would be another signal that the US economy is well on the road to recovery.

Will Canada job numbers plunge?

Canada will also release key employment numbers on Friday (12:30 GMT). However, unlike the US, the consensus is for a dismal release for April. The economy produced some 303 thousand new jobs in March, but investors are bracing for a sharp downturn in April, with a forecast of -160 thousand. The unemployment rate is expected to rise to 7.8%, up from the current 7.5%. If the readings fall within expectations, the Canadian dollar’s party this week could come to an end.

USD/CAD technical

On the upside, there is resistance at 1.2435 and 1.2575.
USD/CAD is testing support at 1.2210. Below, there is support at 1.2125.

Author

Kenny Fisher

MarketPulse

A highly experienced financial market analyst with a focus on fundamental analysis, Kenneth Fisher’s daily commentary covers a broad range of markets including forex, equities and commodities.

EUR/USD extends its optimism past 1.1900

EUR/USD retains a firm underlying bid, surpassing the 1.1900 mark as the NA session draws to a close on Monday. The pair’s persistent uptrend comes as the US Dollar remains on the defensive, with traders staying cautious ahead of upcoming US NFP prints and CPI data.

GBP/USD tilts bullish as markets barrel toward mid-week NFP print

GBP/USD is holding a broader bullish structure on the daily chart, with price trading well above the 50 Exponential Moving Average at 1.3507 and the 200 EMA at 1.3310, confirming the intermediate uptrend that has been in place since the November 2025 low near 1.2300.

Gold pushes back above $5,000

The daily chart shows spot Gold in a parabolic uptrend that accelerated sharply from the $4,600 area in late January, printing a record high at $5,598.25 before a violent reversal erased nearly $1,000 in value during the final days of the month.

Litecoin eyes $50 as heavy losses weigh on investors

Following a strong downtrend across the crypto market over the past week, Litecoin holders are under immense pressure. The Bitcoin fork has trimmed about $1.81 billion from its market capitalization since the beginning of the year, sending it below the top 20 cryptos by market cap.

Japanese PM Takaichi nabs unprecedented victory – US data eyed this week

I do not think I would be exaggerating to say that Japanese Prime Minister Sanae Takaichi’s snap general election gamble paid off over the weekend – and then some. This secured the Liberal Democratic Party (LDP) an unprecedented mandate just three months into her tenure.

Ripple exposed to volatility amid low retail interest, modest fund inflows

Ripple (XRP) is extending its intraday decline to around $1.40 at the time of writing on Monday amid growing pressure from the retail market and risk-off sentiment that continues to keep investors on the sidelines.