ForexProfitZone - USD/CAD Forecast Fundamental Analysis

USD/CAD Forecast Fundamental Analysis | US Dollar / Canadian Dollar

Friday June 04, 2021

The US NFP Report for May is predicted to show 650K job additions and an unemployment rate of 5.9%. Forex traders can compare this to the US NFP Report for April, which showed 266K job additions and an unemployment rate of 6.1%. Private Payrolls for May are predicted to show 600K job additions and Manufacturing Payrolls 24K job additions. Forex traders can compare this to Private Payrolls for April, which showed 218K job additions, and to Manufacturing Payrolls, which showed 18K job losses. The Average Work Week for May is predicted at 35.0 hours. Forex traders can compare this to the Average Work Week for April, reported at 35.0 hours. Average Hourly Earnings for May are predicted to increase 0.2% monthly and 1.6% annualized. Forex traders can compare this to Average Hourly Earnings for April, which increased 0.7% monthly and 0.3% annualized.

The Canadian Employment Report for May is predicted to show the loss of 20.0K jobs and an Unemployment Rate of 8.2%. Forex traders can compare this to the Canadian Employment Report for April, which showed the loss of 207.1K jobs and an Unemployment Rate of 8.1%. US Factory Orders for April are predicted to decrease by 0.2% monthly. Forex traders can compare this to US Factory Orders for March, which increased by 1.1% monthly.

The forecast for the USD/CAD remains bearish after price action paused its sell-off while technical indicators continue to flash sell signals. Forex traders should expect more downside and a rise in volatility, with the Tenkan-sen and Kijun-sen flat, with a bearish bias. The descending Ichimoku Kinko Hyo Cloud supports more downside, and the CCI spiked into extreme overbought territory. This currency pair may try to push higher before succumbing to a renewed sell-off.

USD/CAD Forecast Fundamental Analysis | US Dollar / Canadian Dollar