Don’t waste your time – keep track of how NFP affects the US dollar!

Data Collection Notice

We maintain a record of your data to run this website. By clicking the button, you agree to our Privacy Policy.

facebook logo with graphic

Join Us on Facebook

Stay on top of company updates, trading news, and so much more!

Thanks, I already follow your page!
forex book graphic

Beginner Forex Book

Your ultimate guide through the world of trading.

Get Forex Book

Check Your Inbox!

In our email, you will find the Forex 101 book. Just tap the button to get it!

FBS Mobile Personal Area

market's logo FREE - On the App Store

Get

Risk warning: ᏟᖴᎠs are complex instruments and come with a high risk of losing money rapidly due to leverage.

79% of retail investor accounts lose money when trading ᏟᖴᎠs with this provider.

You should consider whether you understand how ᏟᖴᎠs work and whether you can afford to take the high risk of losing your money.

Weekly Market Outlook: May 6-10

Information is not investment advice

What currencies to trade this week.

On Tuesday, we anticipate a release of the Australian interest rate. Mostly, analysts are quite sure about the rate ahead of the central bank’s meeting but not this time. Experts are divided on whether the Reserve Bank will cut the interest rate tomorrow or wait until after this month's federal election. What to do in such a situation? The market has already priced-in the rate cut. If the central bank shortens the rate, it will pull the Aussie down but not that much. If the rate is kept unchanged, the Australian dollar will be supported.

On Wednesday, there is a chance to trade on the comments of the Reserve Bank of New Zealand. This central bank won’t change the rate, but its comments will be highly important. In the case of the dovish tone, the kiwi will suffer. The optimistic mood of the bank will push the currency up.

On Thursday, trade balance figure will determine the direction of the Canadian dollar. As for the USD, the producer price index will affect it.

Many events on Friday are good for trading. GDP, Prelim GDP growth and Manufacturing production data will shake the British market. Jobs data will represent the health of the Canadian economy pushing the loonie either up or down. And the last but not least, American inflation level will weight on the USD.

Let’s move to the technical setups.

USD/CAD has been trying to resume the uptrend.

On the daily chart of USD/CAD, the pair has been trading near the first pivot resistance at 1.3479. As soon as this level is crossed, the next important resistance will lie at 1.3521 (the previous high). A break above it will resume the uptrend. A rise above 1.3541 will strengthen the bullish strength. The parabolic SAR also signals an upward movement. However, the rise may be limited. A fall towards 1.3428 will mean a correction. A breakthrough below this level will create risks of the further decline towards 1.3367 and 1.3315.

Has NZD/USD reached the bottom?

The pair keeps trading within the downtrend. However, the Parabolic SAR forming dots below the price that may be a good signal for the pair. Bulls need to push it above the middle pivot level at 0.6644. The next move above 0.6682 will end the downtrend. Until pair crosses these levels, there are risks of the slide. If the NZD/USD is below 0.6603, NZD/USD will keep falling. Supports are at 0.6565 and 0.6524.

Difficulties for the British pound.

GBP/USD managed to break above crucial levels to finish the downtrend. However, it seems like the pair is suffering to continue the upward movement. Parabolic SAR has been forming dots below the price that is a good sign. However, the stochastic oscillator is in the overbought area. If the pair falls below 1.3084, we can anticipate a further decline towards 1.2991 and 1.2870. However, positive Brexit news and economic data will support the pound. If bulls manage to keep GBP/USD above 1.3084, next levels to break will be located at 1.3174, 1.3263 and 1.3356.

Similar

Gold bulls are in danger! Market analysis for Jan 31 - Feb 4

For the stock market, January turned out to be the worst month since the market crash in March 2020. There are expectations of rate hikes, another covid wave, and speeding the end of the bond-buying program. What to expect from February and how to trade this week?

Popular

Gold bulls are in danger! Market analysis for Jan 31 - Feb 4

For the stock market, January turned out to be the worst month since the market crash in March 2020. There are expectations of rate hikes, another covid wave, and speeding the end of the bond-buying program. What to expect from February and how to trade this week?

Choose your payment system

Feel the Team Spirit

Callback

Please fill in the form below so we can contact you

Select the best time for us to call you. We give calls from Monday to Friday in suggested intervals. In case we couldn't get through, we will try again at the same time the next day. For getting real-time assistance, use FBS chat.

We provide only English-speaking callbacks. If you prefer any other languages, contact the support team.

We will call you at the time interval that you chose

Change number

Your request is accepted.

We will call you at the time interval that you chose

Next callback request for this phone number will be available in 00:30:00

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later