- July 26, 2018
- Posted by: Trading
- Category: Currency Forecast
The Canadian dollar has posted slight gains in the Thursday session. Currently, is trading at 1.3054, up 0.06% on the day. On the release front, there are no Canadian indicators for the remainder of the week. In the U.S., the focus is on durable goods orders. orders is expected to climb to 0.5% and the is forecast to jump to 3.0%. Both indicators recorded declines in the previous release. On Friday, the U.S. releases and .
Canadian policy-makers are keeping a close eye on Wednesday’s breakthrough in the EU-U.S. trade war. On Wednesday, EU Commission President Jean-Claude Juckner met with U.S. President Donald Trump, and the talks appear to have been more successful than expected. The parties agreed to hold off on any further tariffs while talks are ongoing. This is a major concession from Trump, who had threatened to impose tariffs on European car imports. U.S. tariffs on European aluminum and steel will remain in place, but Juckner pointed out that the U.S. has agreed to reassess these measures. The surprise agreement eases fears of a full-blown trans-Atlantic trade war. Will the goodwill displayed by Trump extend into some kind of agreement with Canada as well?
The Canadian dollar posted strong gains on Wednesday, following an Energy Information Administration report showed a huge decline of 6.1 million in inventories. This is the second decline in three months, and was much higher than the estimate of 2.6 million. Tensions between Iran and the U.S. have also raised concerns about oil supplies, and higher crude prices have boosted the Canadian dollar.
Friday (July 27)
- 8:30 US Advance GDP. Estimate 4.1%
- 10:00 US Revised UoM Consumer Sentiment. Estimate 97.1
*All release times are DST
*Key events are in bold
USD/CAD for Thursday, July 26, 2018
USD/CAD for July 25-27, 2018.
USD/CAD, July 26 at 8:05 DST
Open: 1.3046 High: 1.3061 Low: 1.3025 Close: 1.3054
USD/CAD inched higher in the Asian session. In European trade, the pair edged lower but has recovered
- 1.2970 is providing support
- 1.3067 is a weak line of resistance
- Current range: 1.2970 to 1.3067
Further levels in both directions:
- Below: 1.2970, 1.2831 and 1.2733
- Above: 1.3067, 1.3160, 1.3292 and 1.3436
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