USD/CAD weekly special report based on 1 Lot Calculation:
GEOPOLITICS:
- US PRESIDENT DONALD TRUMP BEGAN HIS SECOND PRESIDENTIAL TERM ON JANUARY 20, 2025: The US dollar could be expected to come under upward pressure due to expectations that Trump's policy over "Make America Great Again" will protect the US economy and strengthen the status of “Global Reserve Currency” of the US DOLLAR.
- SATURDAY, FEBRUARY 1: US PRESIDENT DONALD TRUMP FINAL DECISION ON TARIFF IMPLEMENTATION ON IMORTS FROM CANADA. The tariffs could go as high as 25% towards Canadian imports. If the tariffs are implemented according to anticipations or even stronger it could be negative for the value of the Canadian dollar, pushing the USD/CAD currency pair upward.
EVENTS:
- WEDNESDAY, JANUARY 29, AT 14:45 GMT: BANK OF CANADA INTEREST RATE CUT DECISION: The Bank Of Canada will meet next on January 29, 2025. Most of the analysts believe that the Bank of Canada will reduce interest rates by 25bps (from 3.25% to 3.00%) continuing the agresive policy from 2024. Lower Candian interest rates exert negative pressure on the Canadian dollar. The Bank of Canada performed an aggressive policy of rate cuts in 2024 – 5 cuts in total – from 5.00% to 3.25%. In comparison, US Federal Reserve have only 3 rate cuts in 2024 – from 5.50% to the current 4.50%.
- WEDNESDAY, JANUARY 29, AT 19:00 GMT: US FED INTEREST RATE DECISION: The FED is expected to keep the interest rate at the current level (4,50%), which could additionally support the value of the dollar, pushing the USD/CAD currency pair upward.
USD/CAD January 28, 2025
Current Price: 1.4370
USD/CAD |
Weekly |
Trend direction |
|
1.4850 |
|
1.4700 |
|
1.4490 |
|
1.4270 |
|
1.4200 |
|
1.4150 |
Example of calculation based on weekly trend direction for 1 Lot1
USD/CAD |
||||||
Pivot Points |
||||||
Profit or loss in $ |
3,337 |
2,295 |
834 |
-695 |
-1,182 |
-1,530 |
Profit or loss in €2 |
3,200 |
2,200 |
800 |
-667 |
-1,133 |
-1,467 |
Profit or loss in £2 |
2,685 |
1,846 |
671 |
-559 |
-951 |
-1,231 |
Profit or loss in C$2 |
4,800 |
3,300 |
1,200 |
-1,000 |
-1,700 |
-2,200 |
1. 1.00 lot is equivalent of 100,000 units
2. Calculations for exchange rate used as of 14:15 (GMT) 28/01/2025
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Senior Account 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 Manager for more detail