USD/CAD: bought by fundamental news!!!
The U.S. Dollar look bullish by sense in the fundamental news what I read in my own opinion. What as I share what I found out.
1) U.S. Dollar rose against the basket of currencies, as investor kept their focus on the Federal Reserve's interest rate hiking path after a policymaker said too much of last week's cooler U.S. inflation data
2) Governor Christopher Waller told on this Sunday that FED could now start thinking about hiking at a slower pace as inflation print was just one data point that they're similar readings would needed to show convincingly that U.S. inflation was slowing.
3) Adam Button (Chief Currency Analyst at Forex Live in Toronto, Canada) put in note that investor hopes how far the FED make recalibration to rethink it needs some time to digest the enormous. He comment too, that he's expect that market to consolidate and digest some of these moves.
4) The release of cooler than expected U.S. Consumer Price Index for October on Thursday prompted a sharp retreat in the Dollar on raised expectations that FED will decide to temper its aggressive monetary tightening with another potential to hike 50 bps in December.
5) Governor Christopher Waller attempted to punture this optimism, saying in an interview over the weekend that the markets shouldn't get carried away over just one a data point to hike slower pace as inflation began to slow.
6) Federal Reserve will likely soon slow its interest rates hikes. Signalizing that U.S. Central Bank tries to figure out how high borrowing cost need to go and how long they should stay there to bring down inflation.
Now, fundamentally the fundamental news sound bullish for USD as we see that first, investor kept their focus on the Federal Reserve's interest rate hiking path after a policymaker said too much of last week's cooler U.S. inflation data. This sentence it's appear that indicate that U.S. Dollar it's entry in demand as investor still watching the Federal Reserve's focus about interest rate hikes in December 2022. Another fundamental news are talking that FED it's seem to starting to slow pace the interest rates hikes, and economist believe that FED may to hike not 75 bps, did you know 50 bps after inflation it's hot and also, it's very necessary to know if U.S. Central Bank will bring down inflation as there're economic data that appoint that Federal Reserve may be less aggressive to hike interest rate and may to change their monetary policy in US.
Now, based in our technical analysis, we see this:
I see an ABCD harmonic pattern what we can to get a nice opportunity to bought USD/CAD. And I draw a fibonacci level, with expection in two important point in 0.382% and 0.618%, What mean that we can to find up targets in one of those zones. And also the MACD it's almost oversold.
Now, in H1 we see in this chart that USD/CAD formed a little symmetric triangle, and seem that they (institutional) move the Dollar to the upside.
So, I put a buy order in $1.3300 CAD, Stop Loss in $1.3250 CAD and take profit $1.3440 CAD. This it's a risk/benefit 1:3. This could be a nice trade in this week.
Good luck!!!
1) U.S. Dollar rose against the basket of currencies, as investor kept their focus on the Federal Reserve's interest rate hiking path after a policymaker said too much of last week's cooler U.S. inflation data
2) Governor Christopher Waller told on this Sunday that FED could now start thinking about hiking at a slower pace as inflation print was just one data point that they're similar readings would needed to show convincingly that U.S. inflation was slowing.
3) Adam Button (Chief Currency Analyst at Forex Live in Toronto, Canada) put in note that investor hopes how far the FED make recalibration to rethink it needs some time to digest the enormous. He comment too, that he's expect that market to consolidate and digest some of these moves.
4) The release of cooler than expected U.S. Consumer Price Index for October on Thursday prompted a sharp retreat in the Dollar on raised expectations that FED will decide to temper its aggressive monetary tightening with another potential to hike 50 bps in December.
5) Governor Christopher Waller attempted to punture this optimism, saying in an interview over the weekend that the markets shouldn't get carried away over just one a data point to hike slower pace as inflation began to slow.
6) Federal Reserve will likely soon slow its interest rates hikes. Signalizing that U.S. Central Bank tries to figure out how high borrowing cost need to go and how long they should stay there to bring down inflation.
Now, fundamentally the fundamental news sound bullish for USD as we see that first, investor kept their focus on the Federal Reserve's interest rate hiking path after a policymaker said too much of last week's cooler U.S. inflation data. This sentence it's appear that indicate that U.S. Dollar it's entry in demand as investor still watching the Federal Reserve's focus about interest rate hikes in December 2022. Another fundamental news are talking that FED it's seem to starting to slow pace the interest rates hikes, and economist believe that FED may to hike not 75 bps, did you know 50 bps after inflation it's hot and also, it's very necessary to know if U.S. Central Bank will bring down inflation as there're economic data that appoint that Federal Reserve may be less aggressive to hike interest rate and may to change their monetary policy in US.
Now, based in our technical analysis, we see this:
I see an ABCD harmonic pattern what we can to get a nice opportunity to bought USD/CAD. And I draw a fibonacci level, with expection in two important point in 0.382% and 0.618%, What mean that we can to find up targets in one of those zones. And also the MACD it's almost oversold.
Now, in H1 we see in this chart that USD/CAD formed a little symmetric triangle, and seem that they (institutional) move the Dollar to the upside.
So, I put a buy order in $1.3300 CAD, Stop Loss in $1.3250 CAD and take profit $1.3440 CAD. This it's a risk/benefit 1:3. This could be a nice trade in this week.
Good luck!!!
