NZDCAD: Should You Wait Before Buying?

Tues 17th January 2023 : Daily Currency Strength Analysis

In Today’s Video we’re looking at Trading Setups in:

• NZDCAD
• CADJPY

NZDCAD: Should You Wait Before Buying?

In today’s currency strength video we identified that the Canadian Dollar has become the weakest currency topping the day traders table today. 

At 1.30pm BST, we are expecting the Consumer Price Index (CPI) data out of Canada. This data is forecast to come in lower than previous from 0.1% to -0.5%.

This could have a great affect on the strength and weakness of the Canadian Dollar so we do express caution when looking at todays opportunities.

The main focus of the video is NZDCAD, the last time we featured this currency pair we looked for long ideas at the 200 moving average, this led to a 300 pip rally. 

Could the pair be about to make a similar move again?

On the weekly time frame we can see the price forming lows around the 0.8450 level after the price traded through three weekly highs. If this momentum is to continue we could expect a move to the weekly highs of 0.8800. 

The lower time frames show the price trading in a minor range below the key 0.8625 level. If the price trades through this level we could look for buying opportunities into the highs of 0.8800.