Canadian Dollar May Provide Good Range-Trading Opportunities

Daily Forex Technicals | Written by DailyFX | Sep 18 08 14:46 GMT |

In the medium-term, there is a good amount of USD bearish potential given the outlook for interest rates in the US, as the markets are pricing in at least 25bps worth of cuts by the Federal Reserve before the end of the year. In the short-term though, USD/CAD could continue to provide good range-trading opportunities as the pair has held between approximately 1.06 - 1.08. Given the bounce from trendline support and the market's positive response to the Federal Reserve's massive $180 billion emergency liquidity injection, I think we could see a bit of a bounce in the dollar today. Stops should be place below the recent spike lows of 1.0577, while 1.0750 (near the top of the range) may serve as a good target. DailyFX Disclaimer Investment in the currency exchange is highly speculative and should only be done with risk capital. Prices rise and fall and past performance is no assurance of future performance. This website is an information site only. Accordingly we make no warranties or guarantees in respect of the content. The publications herein do not take into account the investment objectives, financial situation or particular needs of any particular person. Investors should obtain individual financial advice based on their own particular circumstances before making an investment decision on the basis of the recommendations in this website. While we try to ensure that all of the information provided on this website is kept up-to-date and accurate we accept no responsibility for any use made of the information provided. All intellectual property rights are the property of Daily FX. Daily FX and its affiliates, will not be held responsible for the reliability or accuracy of the information available on this site. The content herein is provided in good faith and believed to be accurate, however, there are no explicit or implicit warranties of accuracy or timeliness made by Daily FX or its affiliates. The reader agrees not to hold Daily FX or any of its affiliates liable for decisions that are based on information from this website. Daily FX highly recommends that before making a decision, the reader collects several opinions related to the decision and verifies facts from at least several independent sources.