USDCAD Stays Subdued
The rush to obtain U.S. dollar funding during the max of market distress (as seen in March and early April) has largely faded...
Share this:
Last Friday, the April U.S. jobs report came out not as ugly as expected (a reduction of 20.500 million Nonfarm Payrolls vs. -22.000 million expected, jobless rate soaring to 14.7% vs. 16.0% expected), the Canadian economy shed 1.99 million jobs (vs. -4.00 million expected) with a jobless rate of 13.0% (vs. 18.1% expected) --.also not as grim as expected.
As virus-hit countries and U.S. states gradually relax coronavirus-induced restrictions and reopen their economies, market sentiment has been boosted.
And the rush to obtain U.S. dollar funding during the max of market distress (as seen in March and early April) has largely faded.
On an Intraday 30-minute Chart, USD/CAD remains on the downside after retreating from a high of 1.4173 seen on May 7.
Source: GAIN Capital, TradingView
Currently it has swung to the Lower Bollinger Band keeping the intraday outlook as bearish.
A Key Resistance is located at 1.3945 (around the Upper Bollinger Band).
Trading below this key Resistance, USD/CAD is expected to Seek Support at 1.3880 and 1.3845 on the downside (both levels last seen at end-April).
As virus-hit countries and U.S. states gradually relax coronavirus-induced restrictions and reopen their economies, market sentiment has been boosted.
And the rush to obtain U.S. dollar funding during the max of market distress (as seen in March and early April) has largely faded.
On an Intraday 30-minute Chart, USD/CAD remains on the downside after retreating from a high of 1.4173 seen on May 7.
Source: GAIN Capital, TradingView
In fact, USD/CAD is trading within a Bearish Channel having confirmed a Bearish Pattern of Lower Highs.
Currently it has swung to the Lower Bollinger Band keeping the intraday outlook as bearish.
A Key Resistance is located at 1.3945 (around the Upper Bollinger Band).
Trading below this key Resistance, USD/CAD is expected to Seek Support at 1.3880 and 1.3845 on the downside (both levels last seen at end-April).
Last Friday, the April U.S. jobs report came out not as ugly as expected (a reduction of 20.500 million Nonfarm Payrolls vs. -22.000 million expected, jobless rate soaring to 14.7% vs. 16.0% expected), the Canadian economy shed 1.99 million jobs (vs. -4.00 million expected) with a jobless rate of 13.0% (vs. 18.1% expected) --.also not as grim as expected.
As virus-hit countries and U.S. states gradually relax coronavirus-induced restrictions and reopen their economies, market sentiment has been boosted.
And the rush to obtain U.S. dollar funding during the max of market distress (as seen in March and early April) has largely faded.
On an Intraday 30-minute Chart, USD/CAD remains on the downside after retreating from a high of 1.4173 seen on May 7.
Source: GAIN Capital, TradingView
Currently it has swung to the Lower Bollinger Band keeping the intraday outlook as bearish.
A Key Resistance is located at 1.3945 (around the Upper Bollinger Band).
Trading below this key Resistance, USD/CAD is expected to Seek Support at 1.3880 and 1.3845 on the downside (both levels last seen at end-April).
As virus-hit countries and U.S. states gradually relax coronavirus-induced restrictions and reopen their economies, market sentiment has been boosted.
And the rush to obtain U.S. dollar funding during the max of market distress (as seen in March and early April) has largely faded.
On an Intraday 30-minute Chart, USD/CAD remains on the downside after retreating from a high of 1.4173 seen on May 7.
Source: GAIN Capital, TradingView
In fact, USD/CAD is trading within a Bearish Channel having confirmed a Bearish Pattern of Lower Highs.
Currently it has swung to the Lower Bollinger Band keeping the intraday outlook as bearish.
A Key Resistance is located at 1.3945 (around the Upper Bollinger Band).
Trading below this key Resistance, USD/CAD is expected to Seek Support at 1.3880 and 1.3845 on the downside (both levels last seen at end-April).
Latest market news
The complete CFD trading experience
Award-winning platforms, competitive spreads, low commissions and dedicated support.
We live and breathe the markets and are dedicated to helping traders realise their ambitions as we continue to set the industry bar.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
EUR/USD weekly outlook: Oil, inflation and NFP in focus
After coming under significant pressure in recent weeks, the EUR/USD came off its lows to finish the week on a positive note on Friday, albeit with only a mild rebound. That was not enough to prevent the exchange rate falling for the third consecutive week, as the US dollar and bond yields rallied across the board.
EUR/USD Q4 2026 Outlook: Euro at a Crossroads as Fed, ECB Tighten 9 25 2026
EUR/USD enters Q4 at a pivotal inflection point as competing Fed-ECB policy paths and persistent inflation risks collide with major technical support.
USD/JPY Q4 2026 Outlook: Hawkish Fed Pricing Clashes With Intervention Risk
The year-end tug-of-war is clear: hawkish Fed pricing supports USD/JPY, while intervention risk limits the upside.
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.