#USDCAD @ 1.35759 regains positive traction on Monday and draws support from a combination of factors. (Pivot Orderbook analysis)
…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]
- USD/CAD regains positive traction on Monday and draws support from a combination of factors.
- Sliding Crude Oil prices undermines the Loonie and acts as a tailwind amid a modest USD strength.
- Traders now look to the US ISM Manufacturing PMI for some impetus ahead of the FOMC meeting.
The pair currently trades last at 1.35759.
The previous day high was 1.3668 while the previous day low was 1.3536. The daily 38.2% Fib levels comes at 1.3586, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.3618, expected to provide resistance.
The USD/CAD pair attracts some buyers near the 100-day Simple Moving Average (SMA) on Monday and stalls Friday’s sharp retracement slide from the 1.3665-1.3670 region, or one-month high. The pair maintains its bid tone around the 1.3570-1.3575 area through the first half of the European session and for now, seems to have snapped a two-day losing streak.
Crude Oil prices struggle to capitalize on Friday’s goodish rebound from a one-month low and come under renewed selling pressure amid worries that rising borrowing costs could slow economic growth, which, in turn, will hit fuel demand. Apart from this, weaker Chinese manufacturing data aggravates the bearish pressure surrounding the black liquid. This, in turn, is seen undermining the commodity-linked Loonie and acting as a tailwind for the USD/CAD pair. Apart from this, a modest US Dollar (USD) strength further contributes to the bid tone surrounding the major.
The prospects for further interest rate hikes by the Federal Reserve (Fed), along with looming recession risks, push the USD higher for the third successive day on Monday. In fact, the markets have fully priced in another 25 bps lift-off at the end of the highly-anticipated two-day FOMC policy meeting on Wednesday. Furthermore, growing market concerns about economic headwinds stemming from rising borrowing costs benefit the Greenback’s relative safe-haven status and provide an additional lift to the USD/CAD pair ahead of the key central bank event risk.
In the meantime, traders on Monday will take cues from the release of the US ISM Manufacturing PMI, due later during the early North American session. Apart from this, the broader risk sentiment will drive the USD demand and provide some impetus to the USD/CAD pair. This, along with Oil price dynamics, should further contribute to producing short-term trading opportunities around the major.
Technical Levels: Supports and Resistances
USDCAD currently trading at 1.3576 at the time of writing. Pair opened at 1.3552 and is trading with a change of 0.18 % .
| Overview | Overview.1 | |
|---|---|---|
| 0 | Today last price | 1.3576 |
| 1 | Today Daily Change | 0.0024 |
| 2 | Today Daily Change % | 0.1800 |
| 3 | Today daily open | 1.3552 |
The pair is trading above its 20 Daily moving average @ 1.3484, below its 50 Daily moving average @ 1.3585 , above its 100 Daily moving average @ 1.3527 and above its 200 Daily moving average @ 1.3429
| Trends | Trends.1 | |
|---|---|---|
| 0 | Daily SMA20 | 1.3484 |
| 1 | Daily SMA50 | 1.3585 |
| 2 | Daily SMA100 | 1.3527 |
| 3 | Daily SMA200 | 1.3429 |
The previous day high was 1.3668 while the previous day low was 1.3536. The daily 38.2% Fib levels comes at 1.3586, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.3618, expected to provide resistance.
Note the levels of interest below:
- Pivot support is noted at 1.3502, 1.3453, 1.3371
- Pivot resistance is noted at 1.3634, 1.3717, 1.3766
| Levels | Levels.1 |
|---|---|
| Previous Daily High | 1.3668 |
| Previous Daily Low | 1.3536 |
| Previous Weekly High | 1.3668 |
| Previous Weekly Low | 1.3523 |
| Previous Monthly High | 1.3668 |
| Previous Monthly Low | 1.3301 |
| Daily Fibonacci 38.2% | 1.3586 |
| Daily Fibonacci 61.8% | 1.3618 |
| Daily Pivot Point S1 | 1.3502 |
| Daily Pivot Point S2 | 1.3453 |
| Daily Pivot Point S3 | 1.3371 |
| Daily Pivot Point R1 | 1.3634 |
| Daily Pivot Point R2 | 1.3717 |
| Daily Pivot Point R3 | 1.3766 |
[/s2If]
Nehcap Expert Advisor
The NEHCAP MT4 EA is high quality professional trading system geared to generate returns without using GRID or martingales. Each trade has strict risk per trade parameter. The pairs under management include EURUSD, GBPUSD, AUDCAD, AUDNZD,GBPAUD, EURAUD, EURCAD, CHFJPY and many more.
The system is trading live: LIVE ACCOUNT TRACKING
You can run it free. Apply for a free trial and track our account. Buy the system or use profit share mechanism to generate returns on your MT4.
Join Our Telegram Group
