USD/CAD refers to the US Dollar/Canadian Dollar currency pair and it shows how many CAD can be purchased for one USD....
Informally, the CAD is known as the Loonie, because of the loon bird which appears on one side of the Canadian $1 coin. USD/CAD is one of the most liquid, commonly traded major currency pairs, which means narrow spreads for traders. There are a variety of factors influencing the value of USD/CAD. One of the most significant of these is that the CAD is a commodity currency, meaning that its value is closely correlated to the value of a heavily traded commodity. The Canadian economy is strongly reliant on crude oil exports, so the currency will be impacted by oil prices and export capacity. In addition, the value of both currencies in the USD/CAD pair are influenced by the interest rate differential between the American Federal Reserve and the Bank of Canada. For example, an intervention by the Fed that strengthened the US dollar would weaken the Canadian dollar since more CAD would be required to buy a single USD dollar. It is also important to note that the Canadian dollar is one of the five major reserve currencies, meaning that many central banks and other leading financial institutions hold large amounts of CAD to use for international transactions as a way to minimize exposure to exchange rate risks.
Most Recent
The USD/CAD is trading near the 1.358000 mark as of this writing, after opening yesterday’s market session around the 1.36400 level.
The USD/CAD has surged higher in early trading this morning and the currency pair is near important mid-term apex values.
After failing to touch highs around the 1.35750 ratio that were traversed on Friday, yesterday’s trading having produced a high of nearly 1.35730 began to reverse lower.
Top Forex Brokers
Speculators of the USD/CAD need to brace for a volatile day ahead as inflation data from Canada, and U.S Retail Sales numbers are published in the same breath.
As of this writing the USD/CAD is near the 1.32550 ratio, after touching a low around the 1.31520 mark yesterday.
Speculators intent on trading today and tomorrow in the USD/CAD, before the U.S. central bank’s Federal Funds Rate and FOMC Statement pronouncements need to have solid risk management in place.
An interesting day of trading for the USD/CAD awaits traders, this as Consumer Price Index statistics are set to come from Canada.
The past four weeks of trading in the USD/CAD have found a solid trend downwards.
The USD/CAD hit a low of nearly 1.31770 on Friday of last week, this came after highs of nearly 1.33525 were seen on Wednesday of last week.
Bonuses & Promotions
As of this writing the USD/CAD is near the 1.33300 ratio as swift trading is being demonstrated.
The past few days of trading have seen the USD/CAD trade mostly within a price range of 1.34700 to 1.35250 with brief outliers.
The USD/CAD nearly hit the 1.35680 ratios in early trading yesterday as it kept climbing.
Subscribe
Sign up to get the latest market updates and free signals directly to your inbox.In the last week of March and first week of April, the USD/CAD was trading above the 1.36000 price tag with a rather sustained effort.
The USD/CAD has moved lower in the wake of the U.S Federal Reserve’s anticipated interest rate hike.
Bearish speculators of the USD/CAD who have been wagering on downside momentum to develop and remain consistent have likely been hurt the past two weeks of trading.