the daily chartist

USD/CAD recap for 05.02.2016

published 3 years ago

USD/CAD had its own story yesterday, but was somewhat affected by the U.S. news also. On the Canadian front we had Employment Change coming in -5.7K vs 5.2.K, Trade Balance (positive) at -0.6B vs -2.2B and Unemployment Rate at 7.2% vs 7.1.%. A proper reaction from the Loonie followed as it depreciated on the deteriorating labor environment. Price had problems braking trough 1.37579 at first and almost closed bellow that level after the initial spike of 61 pips, but was still supported by bulls as the news weigh in and the pair made a significant rally towards 1.37838, 1.37981, catch to its breath at 1.38332 (maybe some profit taking) and continued with determination to its high at 1.39106 and close at 1.39095.

 Correlating with Oil, WTI dropped 42 cents from 33.17 on the news and continued to fall towards 32.13. Oil ended the day lower, reaching 32.32 $/brl. BRENT shared its fate too falling 40 cents from 35.02 towards 34.60 on the news, followed by some choppy moves and overall ended the day lower at 34.32.