USD / CAD price, chart and analysis
- USD / CAD kiosks about 1.2500 when job announcements are nearby.
- Weekly retail data show that net lengths have been truncated and net shorts have increased.
Today’s job vacancies in the US and Canada provide an up-to-date overview of the strength of their economies and set out short- and medium-term prospects. USD/CAD. The two mandates of the Federal Reserve – stable prices and maximum sustainable employment – are well known, but the US Federal Reserve’s last call has shifted to the latter, where inflation has already exceeded the target but is considered temporary. Today NFP the report is now becoming increasingly important. Primary dealers have between 1.2 million and 675,000 (900,000 on average) for today’s issue, leaving traders with a considerable range to try.
In Canada, the labor market appears to be in poor health, despite the current unemployment rate of 7.8%. According to today’s forecast, unemployment will fall further in July, to 7.4%, as the country continues to reduce job losses due to coronavir virus outbreaks.
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Over the past week, the USD / CAD has brought back some sales from mid-July, a multi-month high of 1.2808. The recent rise has now come to a halt before today’s release, with support seen in the region of 1.2420 / 25, with an initial hurdle of just over 1.2600. The three moving averages are mixed, the CCI is neutral, while volatility has declined over the past three weeks. With two major releases appearing simultaneously today (13:30 BST), USD / CAD traders could get decent volatility over the weekend.
USD / CAD daily price chart (December – August 6, 2021)
Details of retailers show 63.60% of traders are network lengths, the ratio of long to short traders is 1.75-1. The number of traders in net length is 3.54% lower than yesterday and 16.68% lower than last week, while the number of traders net-short is 0.42% higher than yesterday and 33.43% higher than last week.
We usually take the opposite view of the mood of the crowd, and the fact that traders are net lengths suggests USD /CAD prices may still fall.However, traders are less taller than last week than yesterday. Recent mood swings warn that the current USD / CAD price trend may soon emerge despite the fact that traders are still long.
What is your view USD / CAD – bullish or bullish ?? You can let us know via the form at the end of this article or contact the author via Twitter @ nickcawley1.