USD/CAD weekly special report based on 1 Lot Calculation:
GEOPOLITICS:
- TRADE WAR: President Trump has declared that the USA will impose 25% tariffs on Canada and Mexico. The decision has been postponed for a month, but has not been called off, and the possibility of a worldwide trade war is still on the table. In the meantime, the U.S. has announced another 25% tariff on all steel and aluminium imports into the U.S. Canada is one of the major suppliers of both aluminium and steel for the U.S. The implementation of tariffs towards Canada could be supportive for the USD/CAD currency pair.
EVENTS:
- TUESDAY, FEBRUARY 11, AT 15:00 GMT AND WEDNESDAY, FEBRUARY 12 AT 15:00 GMT: FED CHAIR JEROME POWELL TESTIMONY BEFORE CONGRESS. Fed Chair Powell is expected to deliver his regularly scheduled testimony to Congress on Tuesday and Wednesday. His remarks come after the Fed held interest rates steady in January (4.5%) after cutting rates in the prior three meetings (from 5.5% to 4.5%) as the central bank pointed to a strong job market and concerns over rising inflation.
- WEDNESDAY, FEBRUARY 12, AT 13:30 GMT: U.S. CONSUMER PRICE INDEX (CPI) (JANUARY) (YoY): A higher-than-expected index is expected to be supportive for the USDCAD pair since it will increase the odds of fewer FED rate cuts. The CPI index measures the change in the price of goods and services from the perspective of the consumer. The expected price growth is 2.9%.
- THURSDAY, FEBRUARY 13, AT 13:30 GMT: U.S. INITIAL JOBLESS CLAIMS: A number lower than expected could point to the FED delaying interest rate cuts which could be supportive for the USDCAD pair. Initial Jobless Claims measures the number of individuals who filed for unemployment insurance for the first time during the past week. The projected number of newly unemployed stands at 221K.
- THURSDAY, FEBRUARY 13, AT 13:30 GMT: U.S. PRODUCER PRICE INDEX (PPI) (YoY): A number higher than expected should be taken as positive for the USDCAD pair. The PPI index measures the change in the price of goods sold by manufacturers.
- FRIDAY, FEBRUARY 14, AT 14:15 GMT: U.S. INDUSTRIAL PRODUCTION (MoM) (JANUARY): A number higher than expected should be taken as positive for the USDCAD pair. The industrial production data measures the changes in the total output produced by manufacturers, mines and utilities. The forecasted number is 0.3% for January.
- TUESDAY, FEBRUARY 18, AT 13:30 GMT: CANADA CONSUMER PRICE INDEX (CPI) (YoY) (JANUARY): A lower than expected reading should be taken as positive for the USDCAD, because a lower inflation will motivate the Central Bank of Canada to lower interest rates more aggressively, and create positive pressures for the USDCAD. The Consumer Price Index (CPI) measures the change in the price of goods and services from the perspective of the consumer.
USD/CAD February 11, 2025
Current Price: 1.4320
|
USD/CAD |
Weekly |
|
Trend direction |
|
|
1.4700 |
|
|
1.4600 |
|
|
1.4500 |
|
|
1.4150 |
|
|
1.4100 |
|
|
1.4050 |
Example of calculation based on weekly trend direction for 1 Lot1
|
USD/CAD |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
2,642 |
1,947 |
1,252 |
-1,182 |
-1,530 |
-1,877 |
|
Profit or loss in €2 |
2,559 |
1,886 |
1,212 |
-1,145 |
-1,482 |
-1,818 |
|
Profit or loss in £2 |
2,133 |
1,571 |
1,010 |
-954 |
-1,235 |
-1,515 |
|
Profit or loss in C$2 |
3,800 |
2,800 |
1,800 |
-1,700 |
-2,200 |
-2,700 |
1. 1.00 lot is equivalent of 100,000 units
2. Calculations for exchange rate used as of 14:05 (GMT) 11/02/2025
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.