- USD/CAD attempts to capitalize on a modest bullish gap opening on Monday.
- An uptick in Crude Oil prices underpins the Loonie and acts as a headwind.
- A combination of factors continues to benefit the USD and lends support.
The USD/CAD pair pushes higher to the mid 1.3400s during the European session on Monday as follow-through buying after Friday's NonFarm Payroll job's suprise continues to fuel demand for the US Dollar.
Crude Oil prices edged higher overnight, initially recovering a part of Friday's slide to over a one-month low, but these have faded as the day progresses.
The USD Index, which tracks the Greenback against a basket of currencies, builds on Friday's solid recovery from a nine-month low and continues to draw support from a combination of factors. Investors are aclimatizing to the new view that the upbeat US jobs data could allow the Fed to stick to its hawkish stance and keep raising rates.
These expectations are pushing the US Treasury bond yields higher, which, along with the risk-off environment, is seen benefitting the safe-haven Greenback. This, in turn, suggests that the path of least resistance for the USD/CAD pair is to the upside and any meaningful slide is likely to get bought into.
There isn't any major market-moving economic data due for release from the US on Monday, leaving the USD at the mercy of the US bond yields and the broader market risk sentiment. Apart from this, traders will take cues from Oil price dynamics to grab short-term opportunities around the USD/CAD pair.
Technical levels to watch
|Today last price||1.3405|
|Today Daily Change||0.0004|
|Today Daily Change %||0.03|
|Today daily open||1.3401|
|Previous Daily High||1.3427|
|Previous Daily Low||1.3308|
|Previous Weekly High||1.3472|
|Previous Weekly Low||1.3262|
|Previous Monthly High||1.3685|
|Previous Monthly Low||1.33|
|Daily Fibonacci 38.2%||1.3381|
|Daily Fibonacci 61.8%||1.3353|
|Daily Pivot Point S1||1.333|
|Daily Pivot Point S2||1.326|
|Daily Pivot Point S3||1.3211|
|Daily Pivot Point R1||1.3449|
|Daily Pivot Point R2||1.3498|
|Daily Pivot Point R3||1.3568|
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Follow us on Telegram
Stay updated of all the news
EUR/USD stabilizes above 1.0750, looks to post modest weekly gains
Following the sharp decline witnessed in the European session, EUR/USD has managed to recover modestly and seems to have stabilized above 1.0750 amid an improvement seen in market mood. The pair remains on track to end the week modestly higher.
GBP/USD holds above 1.2200 heading into the weekend
GBP/USD retraced a small part of its daily decline in the American session after having tested 1.2200 earlier in the day. The US Dollar has lost some strength with Wall Street's main indexes rebounding from opening lows, allowing the pair to limit its losses.
Gold retreats after facing resistance at $2,000
Gold price climbed above $2,000 in the early American session but reversed its direction. With the benchmark 10-year US Treasury bond yield recovering from daily lows after Wall Street's opening bell, XAU/USD struggles to keep its footing and trades at around $1,990.
Breaking: Binance suspends spot trading, citing issues
Binance, one of the world's largest cryptocurrency exchanges by trading volume, announced that it halted spot trading. The announcement from the exchange caused BTC and ETH to drop by nearly 3% and 4%.
Deutsche Bank Stock Forecast: DB shares drop 6% at open following bond sell-off
Deutsche Bank (DB) is the newest bank that has the market worried. Shares opened down more than 6% on Friday and at the time of writing are trading off -6.8% at $8.99.