Overview on the USD/CAD pair: on the eve of the Stephen Poloz speech

During today’s trading, the Canadian dollar significantly became cheaper against the US dollar because of some decline in oil prices, as well as due to the overall strengthening of the US currency. As a result of the growth in the pair USD/CAD, the price of the instrument excellently worked out one of the main support levels, which allowed everyone who uses my analytics to earn about 60 points of profit. Read more … 

Later today is expected the speech of the head of the Bank of Canada Poloz. In case Poloz in his speech will give any comments on further tightening of monetary policy, this could cause a significant increase in volatility of the Canadian currency. Therefore, during the speech it is worthwhile to insure the open positions in the market.

Technical analysis: The pair USD/CAD recovered all lost positions during Monday trading, returning to a significant resistance level at 1.2780. At the moment, the main resistance levels remain at the levels 1,2830; 1.2865. Support levels are considered at 1,2700; 1.2650.

Fig. Chart USD/CAD current price – 1,2774

Alexander Sivtsov