Tag Archives: forex

Oil Prices Could Drive the CAD Lower Before the Recession Ends

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Oil Prices Could Drive the CAD Lower Before the Recession EndsOil Prices Could Drive the CAD Lower Before the Recession Ends

Fundamental Forecast for CAD: Bearish

The Canadian Dollar continued to slide lower to start the week, furthering the return of the up-trend in USD/CAD led by a precipitous drop in Oil prices. But a surprise decrease in Oil supplies on Wednesday helped to strengthen Crude prices to finish off the week, and this led to CAD strength for the past three days. But after extended down-trends in both Oil and Cad, the prospect of trend resumption may be near and an attractive entry in both of these markets may be near. read more

Post-Fed GBP/USD Rebound at Risk on Dovish BoE, Soft Inflation Report

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Post-Fed GBP/USD Rebound at Risk on Dovish BoE, Soft Inflation ReportPost-Fed GBP/USD Rebound at Risk on Dovish BoE, Soft Inflation Report

Fundamental Forecast for British Pound:Neutral

With GBP/USD largely reversing the decline following the Federal Open Market Committee’s (FOMC) policy meeting, the pair may continue to face range-bound prices in the week ahead as market attention turns to the Bank of England (BoE) interest rate decision on November 3. read more

Australian Dollar May Fall Further as Fed, RBA Divergence Deepens

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Australian Dollar May Fall Further as Fed, RBA Divergence DeepensAustralian Dollar May Fall Further as Fed, RBA Divergence Deepens

Fundamental Forecast for the Australian Dollar: Bearish

  • Aussie Dollar at Risk as Jobs Data Amplifies RBA Rate Cut Probabilities
  • China Data Unlikely to Offset Pressure from Fed Rate Hike Speculation
  • Find Critical Turning Points for the Australian Dollar with DailyFX SSI

The Australian Dollar continued to sink, registering a fourth consecutive week of losses and hitting a monthly low against its US counterpart. External factors conspired against the currency even as the RBA shied away from an interest rate cut and signalled it is not in a rush to ease in the near term. Upbeat US jobs data inspired the bulk of the losses, with a swell in December Fed rate hike expectations amplifying policy divergence headwinds and sinking the Aussie as expected. read more

Oil Prices May be Creating an Even Larger Problem for Canada

DailyFX.com –

Oil Prices May be Creating an Even Larger Problem for CanadaOil Prices May be Creating an Even Larger Problem for Canada

Fundamental Forecast for CAD: Bearish

Just last week we reiterated our bearish forecast for the Canadian Dollar on the basis of expected weakness in Oil prices. And last week, that is exactly what we got. But we did also see some positive information on the Canadian economy with a better than expected jobs report on Friday morning to finish off the week. The unemployment rate for the Canadian economy dropped to 7% versus an expectation of 7.1% as 44.4k jobs were added to Canadian payrolls against an expectation for a 10k increase. But looking inside of the numbers will highlight that this isn’t really as bullish as it may first appear, as 32k of those jobs were temporary positions related to the recent Canadian election. read more

Traders Believe USD/JPY Could Rally Further – What Could Change?

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Traders Believe USD/JPY Could Rally Further – What Could Change?Traders Believe USD/JPY Could Rally Further – What Could Change?

Fundamental Forecast for Yen:Bearish

The Japanese Yen finally showed signs it might break its long-standing trading range as it fell to multi-month lows versus the resurgent US Dollar. But will the post-NFPs USD rally be enough to take the USD/JPY to fresh decade-plus peaks? read more

GBP/USD 2015 Rebound to Unravel Further as BoE Lags Behind Fed

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GBP/USD 2015 Rebound to Unravel Further as BoE Lags Behind FedGBP/USD 2015 Rebound to Unravel Further as BoE Lags Behind Fed

Fundamental Forecast for British Pound:Bearish

GBP/USD stands at risk of extended the decline from the beginning of the month should the key developments coming out of the U.K./U.S. largely boost speculation for the Federal Open Market Committee (FOMC) to normalize monetary policy ahead of the Bank of England (BoE). read more