Trade of the Day - USDCAD
22 April 2022
Trend on general is more on downtrend. With the current rate of BoC higher than Fed, unless there change in the interest between those 2 central banks, the general trend should remain.
Price right now coming close to the key zone price near the upper ceiling of the trend line in which a good key zone price. The movement of the market will be affected by the news from US and Canada later.
On Canada side, we have data from the retails sales. If the data is as expected or even better as expected. The current trend will remain, and we will focus on looking for short positions.
For the US, we have PMI data. For this data it will show the expectation on the US growth for upcoming month. If the growth better than expected, there a slight chance the trend may reverse into uptrend as the possibility for rate hike by Fed will increase.