Sasha Singh
0
All posts from Sasha Singh
Sasha Singh in Sasha Singh,

USDCAD : Following a Descending Channel Trend

Statistics Canada reported today Manufacturing Sales Data which is an important indicator of economic health. Manufacturers are quickly affected by market conditions and changes in their sales can be early signal of future activity such as hiring, spending and investment. USDCAD is fluctuating today in response to both US and Canada data. Manufacturing sales rose 1.5% in January, the largest gain since February 2013. The increase came from the higher sales in the primary metal. Food and miscellaneous industries. Constant dollar sales increased .7% which shows that just under half of the gain reflected higher volumes of goods sold. 

USDCAD on the 1 hour chart was consolidating within a descending triangle before the data came out and broke out from the support line of the triangle after the data released. The US upbeat data capped gains of Canadian dollar and weighed on the pair pushing it upwards. I can see a downward sloping channel and the pair seems to be currently trading within this channel.