Like a lot of the majors, it has been a whipsaw session for the USD/CAD. Charges are getting into consolidation close to 1.3200 and seem poised to
Like a lot of the majors, it has been a whipsaw session for the USD/CAD. Charges are getting into consolidation close to 1.3200 and seem poised to settle the week on a optimistic word. Sturdy WTI crude oil pricing, a possible U.S./China commerce deal and optimism over USMCA have introduced enhanced volatility to the Loonie.
As a crude-oil pushed commodity greenback, USD/CAD merchants are consistently evaluating the state of the North American power advanced. Earlier immediately, the Baker-Hughes Rig Count got here in at 667, up from 663 final week. It is a substantial occasion because the Baker-Hughes Rig Depend has been reducing all through 2019. Are the winds starting to shift within the world oil markets?
Personally, I feel there’s a good likelihood that oil could also be turning the nook. Values of January WTI are buying and selling at seasonally excessive ranges, barely beneath the $60.00 psychological barrier. This space is above the 50% retracement of 2018’s selloff. At this level, power gamers are betting on commerce offers, elevated Chinese language demand coming on-line, OPEC cuts, and sturdy financial development in 2020.
So, what does all this imply to the USD/CAD? It implies that a significant Fibonacci help stage could also be able to fall.
USD/CAD Hammers Towards Fibonacci Assist
For the reason that center of November, the 62% Macro Wave Retracement at 1.3150 has loomed giant for the USD/CAD. In the present day it has withstood a…