USD/CAD Daily Forecast – Pair Showing Resiliency Ahead of US Q1 GDP

On the broader timescale, the pair was trading below the Ichimoku clouds. The Crude prices fell ahead of the G20 summit and a meeting of OPEC members to discuss on supply cut extensions.
Nikhil Khandelwal
Canadian Money

After touching the three-month bottom last day, the Loonie pair was showing some resilient price actions in the early hours. At 04:15 GMT, the pair was already laundering near 1.3134 level, 0.11% up for the day. Notably, the USD Index was also 0.20% up at the same time frame.

The elevated sentiment in the Greenback came following positive updates on US-China trade front ahead of G20 meeting.  Recent reports suggested that Washington and the Beijing have agreed over a tentative truce ahead of Saturday’s meeting. As per the temporary agreement, the US counterpart will halt next round of tariffs on $300 billion worth of Chinese goods. However, Trump mentioned that if the parties failed to achieve a proper deal at the G20 meeting, then tariff attacks would continue.

OIL 240 Min 27 June 2019

In the meanwhile, the Crude prices had knocked off the $59.90 bbl highest levels yesterday. Somehow, the accumulated gains seemed to fade in the morning. The commodity prices remained slightly declined, hovering near $59 bbl mark. The prices fell ahead of the G20 summit and a meeting of OPEC members to discuss on supply cut extensions.

Key Economic Events

Today, there is hardly any CAD-specific or Crude-specific economic event in the docket. Nevertheless, some significant events are coming up to affect the pair’s daily movements. The most crucial amongst them is the US Q1 GDP figures. The market has kept an in-line hope over this significant economic report, expecting 3.1% this time, same as previous.

Also, in the docket, there is the Jobless Claims data that reveals the Unemployment status quo. On an overall basis, the street analysts stay slightly bearish over this June Unemployment reports.

Meantime, the consensus estimates the QoQ Q1 Personal Consumption Expenditures (PCE) Prices & Core PCE to report in-line with their respective previous figures.

The Housing market data is something which can have a significant impact on the US economy. Today, the MoM May Pending Home Sales will report at around 14:00 GMT. The analysts stay highly bullish over the statistics expecting a 1.0% over last -1.5%.

Technical Analysis

1-Hour Chart

USDCAD 60 Min 27 June 2019

The USD/CAD pair appeared to follow a downtrend since the previous few sessions. The last plunge in the pair had found some healthy support near 1.3107 level. On moving upside, the pair might experience strong resistive forces near 1.3164, 1.3197, and 1.3216 levels. Anyhow, the overall broad trend might remain bearish as the significant 200-day SMA hovered well above the pair. The RSI indicated positive movements today. The indicator jumped from 35 levels to 45.83 levels in the Asian session, revealing keen buyer interest.

4-Hour Chart

USDCAD 240 Min 27 June 2019

On the broader timescale, the pair was trading below the Ichimoku clouds. The overhead hovering base line and conversion line confirms the downtrend. The pair had recently found support near 1.3108 level.

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.