US Nonfarm Payrolls and the USDCAD

Traders and investors closely follow employment rates. An economy is considered healthy if it is at full employment, while a high unemployment rate indicates that the economy is in trouble. The US Bureau of Labor Statistics issues the nonfarm payrolls report every month, which can cause extreme price movements in the USDCAD. This is especially true if reported figures are different from economists' expectations. Below are some factors to watch for when the US nonfarm payrolls report is released.

Interest rates

The prospects of a 0.75% rate hike have sent the Canadian dollar lower and the price of oil is no help either. The pair is trading near 1.2620-40, a crucial support zone from which a breakout could test the lows of 2022. A rally above 1.2690 would negate this scenario, however. The high oil prices are a source of little support for the Canadian dollar, as they have discouraged business investment.

Oil prices

With OPEC expected to increase its oil output in August, it seems the Canadian dollar is in for a bumpy ride. Although the price of crude oil continues to remain weak, recent OPEC meeting minutes indicate that OPEC intends to stick to its plan to raise output this month. Oil prices have been stable this week, holding close to $44 a barrel. This week's rally is likely to prove to be a false break because the price is now below the 30-SMA, a critical level.

However, the USDCAD has broken through the 100-hour moving average, a critical level that has been a support for the pair since July 12. If this trend continues, a break below 1.0115 will provide a strong resistance level and a bounce higher. In the meantime, a short position is recommended when the price rallies to 1.2913. Shorting is recommended with a stop-loss set above the resistance level, as well as a short position.

The Canadian dollar is dependent on oil exports, with over 85% of the country's exports going to the U.S. In the short-term, oil prices could go up or down depending on U.S. demand. On the longer-term, falling oil prices will benefit the Canadian dollar. But it could also damage the Canadian dollar. That's why traders should carefully consider the currency pair in USDCAD oil prices.

Volatility

USDCAD volatility is rising this week, and the Canadian dollar is poised to move higher on Thursday. The Bank of Canada is expected to hold its policy rate at 1.75 percent, and Governor Stephen Poloz will give an update on the Canadian economy and the outlook for future policy. In addition to a strong U.S. economy, the USDCAD is influenced by economic news from Europe and Asia. The recent weak growth figures from China may also influence the USDCAD.

While the USDCAD has remained range-bound throughout the year, recent volatility has helped the currency move higher. The USDCAD has rebounded aggressively off of uptrend support, as well as the 61.8 percent Fibonacci retracement level. The pair has been range-bound between the 1.336 and 1.310 handles, with a possible breakout above the 78.6 Fibonacci retracement line. Although USDCAD volatility is largely driven by implied volatility, it may also serve as a fundamental factor in a topside breakout.

The USD/CAD currency pair has the greatest daily volatility on Friday. This is likely because traders are adjusting their positions for the weekend. As a result, spreads are most tightly spread during this period. This is an excellent opportunity for traders to generate profits on this pair. In addition to tight spreads, USD/CAD tends to make solid moves quickly after a long period of consolidation. It's imperative to monitor live charts to successfully trade this pair.

Trading time

USD/CAD is a currency pair that moves in tandem with the U.S. economy. Because of the heavy trade between the two nations, the Canadian economy typically follows closely behind the U.S. The pair is most volatile during the US trading session. The early morning session is dominated by the release of a large number of economic news. Consequently, the pair experiences little movement during the morning session, while it has very few moves in the afternoon or early evening European trading sessions.

Trading in USD/CAD requires a thorough understanding of how forex markets work. Market hours vary from country to country, with some countries switching to daylight savings time. In order to avoid being affected by time zone differences, be sure to study the currency's chart patterns. You can also analyze the behavior of oil prices, as they affect the USD/CAD value. The inverse relationship between USD/CAD and oil prices has been observed since 1988.

USD/CAD is highly correlated with certain commodity resources. Fundamental traders will find USDCAD an excellent instrument. However, the pair has a number of unique qualities that make it a unique currency pair. While the two currencies are linked through major economic news, they both trade under the same trading session. In addition to this, USD/CAD is highly correlated with other currencies. Traders can use this correlation to make more informed decisions and take advantage of the currency's volatility.

Charting capabilities

One of the best tools to help you trade currencies is an advanced USDCAD charting capability. The USDCAD is highly correlated with certain commodity resources, which makes it a great tool for fundamental traders. This article will go over why this currency pair is so important. Read on to discover the benefits of advanced USDCAD charting. Traders should pay close attention to the USDCAD charting capabilities of a trading platform. If you're new to Forex trading, it can be a good idea to get up to speed on the currency pair and test new strategies before attempting to trade.

Trading platform

The US dollar and Canadian dollar, or USDCAD for short, are two of the most popular currency pairs in the world. The currency pair represents the US dollar against the Canadian dollar and belongs to the "majors" group of currency pairs. Major currency pairs are the most popular and active currencies in the forex market, with large daily volumes and tighter spreads. You can trade USD/CAD using an ECN account to take advantage of market-leading trading conditions.

There are many reasons to use an automated trading platform. First of all, it allows you to profit from competitive spreads and competitive USD/CAD futures and ETFs. Another reason to use an automated platform is the ability to test new trading strategies. This is because automated trading bots and algorithms have a greater chance of beating out manual traders and will not have the time or patience to read countless forex forum posts. USD/CAD trading platform provides live charts that can help you make the most out of your trading sessions.

USD/CAD is most active during the North American trading session, when both U.S. and Canadian traders are trading. The highest daily volatility is seen on Friday as traders adjust positions heading into the weekend. During the Asian trading sessions, there is some activity, but this activity is not typically as high. It will be quieter, but it will still be worth a look. You'll be surprised at how much profit you can make in a matter of hours.

USDCAD News

USD CAD news is closely aligned with the global commodity market. The Canadian dollar is heavily reliant on the price of oil, which is the world's fourth largest producer. As of last year, Canada supplied approximately 3.5 million barrels per day to the USA, accounting for 48% of the United States' total crude oil imports. However, the recent collapse in oil prices has impacted both the Canadian dollar and USD CAD.

Economic data

To be a successful USDCAD trader, you must be aware of the upcoming USDCAD economic data releases. You need to know when the major currencies of the world will release economic data so you can time your trades accordingly. You can obtain an economic calendar online from the website of any Currency. The economic calendar is divided into two parts: forecast and previous reading. The forecast shows how the experts will interpret the recent economic data. This forecast is provided far in advance of the economic report release.

The price of a currency pair is influenced by economic data released by both the United States and Canada. If the release of the economic data does not differ from the forecast, the price movement will continue in the same direction. The price movement will gain momentum in that direction and move even further. However, if the data release was completely opposite to the forecast, traders will be surprised and adjust their trades accordingly. This will cause a reversal in the other direction.

In today's USDCAD economic data, traders pay close attention to the actual numbers released by the US government. The numbers are often unexpected. Fundamental analysts often open USDCAD trading positions based on the economic news. If the news report indicates that the USDCAD economy is doing better than expected, they would buy the currency while closing their short positions if they see the news report as dismal. For this reason, fundamental analysts focus their trading on these data releases.

Oil price

The currency pair USD/CAD has suffered a significant drop in recent weeks on the back of a number of factors. First of all, the price of crude oil is being driven by the upcoming OPEC+ meeting, which will most likely see Saudi Arabia and Russia agree to limit production and reduce their current surpluses. Crude oil prices have been on an upward trend in recent weeks, and this trend is set to continue in May.

The Canadian Dollar is tied to oil production, and the recent slump in oil prices may be the beginning of yet another period of stagnation or a pullback in a broader recovery. In addition to this, the recent slump in oil prices is a concern for oil producers who are worried that the growth in world oil demand in Q3 16 will be less than half of the pace of Q3 2015, and a lackluster economy will weigh on demand.

MUFG expects the Bank of Canada to hike interest rates in April, but does not predict a date. The upcoming monetary policy decision will depend on how much oil prices rise. The Bank of Canada will likely decide not to raise interest rates in January, but analysts say the Canadian dollar remains undervalued, and they expect it to rise towards 1.2000. While USD/CAD fluctuates in relation to oil prices, it has remained relatively stable this week. The recent Canadian inflation figures show that both core and headline inflation rates were above four percent. These elevated figures will continue to pressurize the Bank of Canada to tighten its monetary policy.

Natural gas storage

The US Department of Energy's Energy Information Administration recently reported that working gas in storage is 15.1% lower than the five-year average. This tight energy supply is causing prices to rise. The US government has been trying to make up for the low supply by raising prices, but this hasn't worked. In fact, the shortage of natural gas is now worse than it was in 2008.

The Energy Information Administration (EIA) releases a report each week that measures the amount of natural gas stored underground. Because Canada's energy sector is so large, this report has greater significance for the Canadian dollar. A higher level of natural gas inventories indicates weaker demand, whereas a lower level means more demand. Therefore, it's always better to be bearish. This is especially true for the Canadian dollar.

Employment change

While this metric does not necessarily affect the value of USDCAD, it is important to be aware of the impact that it has on USDCAD. The Employment Change report is a direct reflection of the number of new jobs added in the past month, as compared to the previous month. In most cases, the higher the number, the better, as a higher number is generally a sign of a booming economy. But the Employment Change report is not always a perfect indicator of a country's employment rate.

The number of people in the labor force is measured in thousands. This is called the Employment Change, and it is often used as a proxy for the overall employment situation. The Employment Change figure accounts for non-farm payroll employees, as opposed to farming employees. It is an important political statistic, since it can affect the social structure of a country as well as the ability of the ruling party to govern it. Throughout history, countries that experience high unemployment have been plagued by increased crime rates and suicide deaths.

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