USDCAD - Negative channel to dominate this week

Alan Collins 3cAnalysis

As expected, USDCAD posted a 3rd down week in a row and the lowest levels traded since October last week. Selling pressure did stall at oversold extremes and around the 200 day mvg avg (unbroken since Oct) with Thursday’s profit taking producing a Bullish Hammer pattern. Despite those concern’s the bounce from the lows was modest and the daily Keltner channel continues to point lower. Therefore, allowing for some volatility, we're looking for the trend of 3 down weeks in a row to continue.

I'm looking for profit taking ralliesto be limited with levels near 1.3239 to find fresh selling interest with downside potential to 1.3030 and 1.2946. Only above 1.3314 would, in my opinion, be bullish.

Selling Deepens

Negative Channel

USDCAD Current Trading Positions

Sell 100%

Buy 0%

Avg Sell Price 1.3291

Avg Buy Price 0.0000

Liquidity Distribution

Author

Alan Collins

3cAnalysis

Alan has been involved in the financial markets for more than 30-years.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.