USDCAD Analysis
| Performance after Monday | |||||
| Period | Pct | Chg | Momentum | ||
| Monday | 0.37% | 51.4 Pips |  |
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| Week to-date | 0.34% | 48 Pips |  |
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| November | 0.35% | 48.8 Pips | |
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Upcoming key events (London Time)
Tue 07:00 PM USD FOMC Meeting Minutes Wed 01:30 PM USD PCE Price Index, excluding food and energy (12-mth) Wed 01:30 PM USD GDP annual rate
What happened lately
There are no major economic news events being reported currently. However, there are some upcoming key economic events in the United States that may have implications for the U.S. dollar and USD/CAD currency pair. On Tuesday at 7:00 PM, the Federal Open Market Committee (FOMC) Meeting Minutes will be released. This report is highly impactful as it provides insights into the Federal Reserve’s monetary policy outlook and decision-making process. Then, on Wednesday at 1:30 PM, two important economic indicators will be released: the Personal Consumption Expenditures (PCE) Price Index, excluding food and energy, which measures inflation, and the Gross Domestic Product (GDP) annual rate, which indicates economic growth. Both events can influence market sentiment and economic expectations, impacting currency valuations.
The recent rise in the USD/CAD exchange rate by 0.37% to 1.39840 on Monday suggests that the U.S. dollar has strengthened against the Canadian dollar. This appreciation of the U.S. dollar could be attributed to market anticipation of upcoming economic data releases that are expected to provide insights into the economic health of the United States. Given the high-impact nature of the upcoming FOMC Meeting Minutes, as reported by the U.S. economic calendar, any dovish or hawkish tones could influence the USD/CAD. A hawkish stance indicating possible rate hikes may further strengthen the U.S. dollar, putting upward pressure on the USD/CAD. Conversely, a dovish sentiment could weaken the dollar, leading to a potential decline in USD/CAD. Additionally, changes in the expectations surrounding the PCE Price Index and GDP could also impact the pair as investors assess the U.S. inflation and economic growth trajectory.
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What can we expect from USDCAD today?
USDCAD on Monday rose 0.37% to 1.39840. Price is above 9-Day EMA while Stochastic is rising.
Updated daily direction for USDCAD looks bullish as the pair ended higher after Monday trading session.
Looking ahead for the day, immediate upside resistance level is R1 at 1.40198 with break above could target R2 at 1.40556 or figure level area. While towards the downside, we are looking at daily low of 1.39230 as an important support. Break below this level could weaken the current bullish momentum. A break above 1.40072 may suggest continuation after recent positive movement.
For the week to-date, take note that USDCAD is mixed as compared to the prior week.
Key levels to watch out:
| R3 | 1.4104 |
| R2 | 1.40556 |
| R1 | 1.40198 |
| Daily Pivot | 1.39714 |
| S1 | 1.39356 |
| S2 | 1.38872 |
| S3 | 1.38514 |
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