USD/CAD weekly special report based On 1.00 Lot Calculation:
· WIDENING INTEREST RATE DIFFERENTIALS BETWEEN THE US DOLLAR AND THE CANADIAN DOLLAR TO POSITIVELY SUPPORT THE USD/CAD. The US Federal Reserve could be expected to keep raising its interest rates. Next, they might increase interest rates by 0,25% points to 5,25% on May 3, 2023. Meanwhile the Bank of Canada already said that they will not be raising interest rates anymore, with current rates standing at 4,5%. Therefore, there could be an interest rates differential of 0,75% points in favor of the US dollar.
·EVENT (MAY 3, WEDNESDAY AT 19:00 GMT+1) FEDERAL RESERVE INTEREST RATE DECISION. In an upcoming meeting, the Federal Reserve might increase its interest rate by 0,25% points to 5,25%.
·TECHNICAL ANALYSIS: Relative Strength indicator on daily graph suggest that USDCAD is on oversold level, which could potentially imply that downward price correction is possible.
USDCAD, April 19, 2023
Current Price: 1.3400
|
USD/CAD |
Weekly |
|
Trend direction |
|
|
1.3960 |
|
|
1.3710 |
|
|
1.3600 |
|
|
1.3220 |
|
|
1.3100 |
|
|
1.3000 |
Example of calculation base on weekly trend direction for 1.00 Lot1
|
Pivot Points |
||||||
|
Profit or loss in $ |
4,174 |
2,311 |
1,491 |
-1,342 |
-2,236 |
-2,982 |
|
Profit or loss in €² |
3,810 |
2,109 |
1,361 |
-1,225 |
-2,041 |
-2,721 |
|
Profit or loss in £² |
3,353 |
1,856 |
1,197 |
-1,078 |
-1,796 |
-2,395 |
|
Profit or loss in C$² |
5,600 |
3,100 |
2,000 |
-1,800 |
-3,000 |
-4,000 |
1. 1.00 lot is equivalent of 100.000 units
2. Calculations for exchange rate used as of 09:16 (GMT) 19/4/2023
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Senior Account ManagerClient Manager regarding their use.
- You may wish to consider closing your position in profit, even if it is lower than suggested one
- Trailing stop technique can protect the profit – Ask your Senior Account ManagerClient Manager for more details