USDCAD - EXPECTING BREAKDOWN OF CONSOLIDATION

7 feb

Symbol - USDCAD

The USDCAD pair is currently consolidating within the range of 1.4485 to 1.4280 The US dollar has been experiencing negative momentum recently. However, with the Non-Farm Payroll (NFP) report upcoming, the data could either reinforce the ongoing correction or provide support to the US dollar index. Market attention is focused on today's economic announcements. If the actual NFP results fall below the forecasted 169K, expectations for a Federal Reserve rate cut are likely to strengthen.

Today, The Federal Reserve's monetary policy report will be released, potentially offering further insights into the regulator's future actions. Should the NFP data be weaker than anticipated, the US dollar may depreciate, leading to a potential decline in USDCAD. Conversely, if the data exceeds expectations, the US dollar is expected to strengthen, driving USDCAD higher. In the event that the Federal Reserve signals a potential rate cut, the US dollar could weaken, thereby supporting the Canadian dollar.

Resistance levels: 1.4345, 1.4370
Support level: 1.4280

Given the uncertainty surrounding the upcoming data, it is challenging to predict the precise market outcome. From a technical perspective, the currency pair appears weak due to the falling value of the US dollar. A break below the 1.4280 support level could signal further downside potential.

13 feb

Trade attivo

CMP 1.4340

CPI came more than expected. I am expecting USDCAD to take liquidity near 1.4340 - 1.4360 area & then break support levels.
Opening short positions at CMP.
Holding with SL 1.4375

14 feb

Nota

CMP 1.4180

Broke down the support area, Retested it & now falling non stop.
Short position +160 pips in profit.

15 feb

Trade chiuso: obiettivo raggiunto

CMP 1.4152

First target reached.
Short position +188 pips in profit.