CAD

Over the past two trading sessions, the USD/CAD pair has posted a slight gain of 0.5% in favor of the U.S. dollar, although the overall bias remains bearish due to the greenback’s continued weakness in recent weeks.

Over the past two trading sessions, the Canadian dollar has gained more than 1.5% against the U.S. dollar, establishing a strong short-term bullish bias.

USD/CAD has been showing neutral price action in the short term. Over the last five sessions, price fluctuations have barely reached a 0.5% variation, as the pair continues hovering around a key barrier near the 1.43289 level.

The USD/CAD maintains a slightly bullish bias, accumulating a gain of over 0.7% in the last five sessions, favoring the U.S. dollar.

USD/CAD put in a massive reversal move in early-February, but tariffs were merely delayed for a month and that topic comes back into the headlines next week.

USD/CAD has maintained a strong downward trend in recent sessions, falling by more than 1% over the last five trading days, as the Canadian dollar continues to gain ground.

USD/CAD has declined more than 3% over the past three sessions, with movements favoring the Canadian dollar.

The 50 bp cut from the Bank of Canada was well priced-in ahead of this morning’s announcement, and several longer-term resistance levels sit overhead around 1.3900, 1.3950 and 1.4000.

Large speculators flipped to net-short exposure to EUR/USD ahead of the French election. Open interest on CAD futures fell at its fastest pace in nearly one year as the sentiment extreme we warned of plays out. Net-long exposure to AUD/USD futures fell to a 3-year low, and prospects of net-long exposure are now on the horizon with the potential for an RBA hike.

Today's BOC rate decision and an ISM report for the US places USD/CAD on volatility alert, alongside USD/JPY.

Asset managers reached a record level of net-short exposure to VIX futures, days before prices fell to a record low. Traders also remain net-long USD despite losses in recent weeks.