US dollar rallied against the Canadian dollar during Thursday trading

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Updated: Apr 6, 2018, 05:17 UTC

The US dollar rallied a bit against the Canadian dollar during trading on Thursday, as we continue to see sloppy trading in general. The market is trying to carve out a bit of a bottom, and if we can get some type of bearish pressure in the oil market, that could send this pair higher. Remember though, today is an important day for both economies as jobs numbers come out of both Ottawa and Washington DC.

The US dollar has rallied a bit during the trading session on Thursday, reaching towards the 1.28 handle. If we can break above there, the market is very likely to go to the 1.2850 level above. If we can break above the 1.2850 level, the market should then go to the 1.29 handle, and then the 1.2950 level after that. I think that this market will continue to be very volatile, and of course the jobs number coming out of both Canada and the United States will have a major influence on both currencies.

While most people will be paying attention to the USD/JPY pair, I’ll be paying attention to this one. While the jobs number coming out of both economies can cause massive amounts of volatility, that’s exactly what I’m looking for. If we get some type of significant in balance as to the numbers, then it becomes a quite easy trade to take. If for example, the Canadians have a great jobs number while the Americans have a weak one, then it’s obvious that you should be shorting this pair. On the other hand, if the situation is reversed, this market should rally from here. I expect volatility in general, but I recognize that it is going to be quiet between now and the announcement overall.

USD/CAD Video 06.04.18

About the Author

Christopher Lewisauthor

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.