Market Outlook
USDCAD may plunge even further into the oblivion. - Zeal Capital Market

USDCAD may plunge even further into the oblivion.

16-11-2022 10:50

“US dollar tumbles as focus redirected back to risky assets, Canada data in view.”

Greenback struggled against its major peers after US government downplayed the significance of missile strike that was launched towards one of Poland’s villages. Following the announcement, fear in the market recedes substantially, reducing the premium for holding greenback as safe-haven asset. On the other hand, investors are currently waiting for the release of CPI data from Canada to gauge Bank of Canada’s next move in terms of monetary policy.  

Quick recap on USDCAD

The pair extended its losses, shifting overall structure towards the downside.

USDCAD Weekly Technical Analysis

USDCAD may plunge even further into the oblivion. - Zeal Capital Market

From weekly perspective, the pair is currently testing near 1.3240 which may determine the next slump if it breaches such level.

USDCAD Daily Technical Analysis

USDCAD may plunge even further into the oblivion. - Zeal Capital Market

From daily perspective, the pair is skewed towards the downside with MACD showing persistent bearish momentum.

Trading Idea

USDCAD may plunge even further into the oblivion. - Zeal Capital Market

ORDER: SELL STOP

ENTRY: 1.3180

STOP LOSS: 1.3280

Target 1: 1.3030

Target 2: 1.2890

ZFX Analyst’s Comment

Due to recent slump from the upper level, the pair is expected to plunge further downwards once nearest support level is breached.

Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.

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