USDCAD climb well well for latest intraday trading, and the move get support as e break one main short-term bearish trendline. The pair still dey trade above EMA50, and that one dey give dynamic support, wey dey strengthen chance say the gains fit extend for near term.
Before this rise, the pair don manage to ease its overbought condition for relative strength indicators. A positive crossover don start to show, and that one open door for the pair to target new resistance levels.
For USDJPY, the pair also rise for latest intraday trading as e try correct main short-term downtrend. But e meet EMA50 resistance, and that one reduce the gains. Negative signals don begin show from relative strength indicators after dem reach severely overbought levels. This one threaten to send the gains into downside reversal during upcoming intraday trading, especially if nearby resistance levels hold.
GBPUSD no follow same direction. The pair decline for latest intraday trading amid dominance of short-term bearish corrective trend. Price dey move alongside a trendline wey support this path, and downside pressure continue because e dey trade below EMA50. That EMA50 na dynamic resistance wey limit chance for the pair to achieve full recovery near term. The latest decline come after the pair manage to ease its oversold conditions for relative strength indicators.
BTCUSD also decline for latest intraday trading after e test short-term bearish corrective trendline. That test expose price to negative pressure wey push am lower. This one come alongside negative signals from relative strength indicators after dem reach severely overbought levels.
For Canadian dollar, the loonie slip to 1.3915 per US dollar as oil jump above $104 and Canadian home sales fall 0.7% in August. The Canadian dollar log fifth straight drop as traders brace for widely expected Federal Reserve rate hike and soft Canadian housing read.
The loonie slip to 1.3915 per US dollar even as oil climb above $104, which often dey help Canada because energy na big export. This time, the bigger driver na interest rates. Canada 2-year government bond yield fall to 3.351% and sit about 130 basis points below comparable US yield, the widest gap in two weeks.
Put simply, higher short-term US yields make am more rewarding to park cash in dollars than in Canadian dollars, and currency hedging tend to follow that math. Add in a 0.7% month-over-month drop in August home sales, sign say higher mortgage rates dey cool activity, and the loonie had little support beyond oil.
For markets, a 130 basis-point 2-year gap fit matter more for USD/CAD than $104 oil. When US-Canada 2-year yield gap widens, USD/CAD often start to trade like rates story. The logic straight: the larger the gap, the more investors and corporate treasurers fit earn holding short-dated US cash instruments relative to Canadian ones, and hedges get set with that spread in mind. That one fit overpower oil day-to-day swings, even during spike.
Near term, the loonie fit stay most sensitive to shifting expectations for Fed path, not whether crude stay above $100.
