USD/CAD

USD/CAD weekly special report based on 1 Lot Calculation:

TECHNICAL ANALYSIS:

• LONG-TERM CHANNEL: 1.3900 - 1.3200. According to the weekly graph below, since July 2022, USD/CAD has predominantly traded within the channel between 1.3900 and 1.3200.
• RESISTANCE AREA: ABOVE 1.3900. According to the daily chart below, the USD/CAD pair would find strong resistance at levels above 1.3900, which historically has shown a pullback to levels below 1.3900, back into the channel defined between 1.3900 and 1.3200.
• PAIR MOVING BELOW WEEKLY AVERAGES: The USDCAD currency pair has been moving below its 20 - and 50 – week moving averages clearly pointing to a downtrend. However, the price could move in the other direction.

GRAPH (Weekly): May 2022 – December 2025

Please note that past performance does not guarantee future results

EVENTS:

• FRIDAY, JANUARY 9, AT 13:30 GMT: US NONFARM PAYROLLS (NFP) AND UNEMPLOYMENT RATE (DECEMBER): A deteriorating situation in the labor market (low number of newly employed people and a high unemployment rate) could prove negative for the USDCAD, since it could point to more interest rate cuts by the FED in 2026. This data measures the change in the number of people employed during the previous month, excluding the farming industry. The data for last month stands at 64,000.
• FRIDAY, JANUARY 09, AT 13:30 GMT: CANADIAN EMPLOYEMENT CHANGE AND UNEMPLOYEMENT RATE (DECEMBER): A better-than-expected situation in the Canadian labor market could prove positive for the Canadian dollar and negative for the pair. This data measures change in the number of people employed. The number of people newly employed last month stands at 53.600.
• TUESDAY, JANUARY 13, AT 13:30 GMT: US CONSUMER PRICE INDEX (DECEMBER): Lower than expected inflation in the US could prove negative for the US dollar and the pair overall, since it could point to more interest rate cuts by the FED in 2026. Inflation for the last month stands at 2.7%, which was lower than the month before (3.0%).

US FEDERAL RESERVE:

• NEXT MEETING: JANUARY 28 AT 19:00 GMT. The US Federal Reserve is expected to keep its interest rates unchanged at 3.75% in the January meeting.
• BREAKING (DECEMBER 10): US FEDERAL RESERVE CUT INTEREST RATE TO 3.75% FROM 4.00%. The Fed cut rates again in December after the one earlier in October. In total, this year, rates have fallen from 4.50% to the current 3.75%.
• FED CHAIR JEROME POWEL’S TERM ENDS IN MAY 2026, AND THE US PRESIDENT WILL MOST LIKELY NAME A NEW SUCCESSOR IN EARLY 2026. The US administration has already announced the 5 candidates that could replace Mr. Powel. All of the candidates support a policy of low interest rates, creating the conditions that the interest rate cut cycle will continue in 2026, potentially further pushing the US dollar downward.

BANK OF CANADA

• NEXT MEETING: JANUARY 19 AT 14:45 GMT. The Bank of Canada is expected to keep its interest rates unchanged at 2.25%, creating a positive sentiment for the Canadian dollar and an overall negative sentiment for the pair. Overall, the FED is expected to conduct a more aggressive interest rate cut cycle in 2026, compared to the Bank of Canada, potentially creating an overall negative environment for the pair.

USD/CAD January 09, 2026
Current Price: 1.3870

Example of calculation based on weekly trend direction for 1 Lot¹

1. 1.00 lot is equivalent of 100,000 units
2. Calculations for exchange rate used as of 13:15 (GMT+1) 09/01/2026

There is a possibility to use Stop-Loss and Take-Profit.

• You may wish to consider closing your position in profit, even if it is lower than suggested one.
• Trailing stop technique could protect the profit.