- Rising anxiety ahead of US NFP announcement underpins risk-off impulses.
- S&P 500 futures show negative market sentiment with lower early gains.
- The Loonie asset is capped near 1.3700 on the top and capped on the bottom near 1.3500.
The USD/CAD pair has rebounded strongly after dropping close to 1.3550 early in the European session. Looney’s property felt decent demand as traction shifted in favor of safe-haven properties. At the time of writing, the US Dollar Index (DXY) has also widened to a key resistance near his 105.00 as anxiety heightened among market participants ahead of the release of US Nonfarm Payrolls (NFP) data. doing.
Earnings recorded in S&P 500 futures in early Asia have shrunk significantly as investors prefer to avoid positions in US equities until employment data is released to make informed decisions. bottom.
Scrutinizing GBP/USD on a 4-hour scale, the asset’s rise is constrained around the horizontal resistance plotted from the December 7 high of 1.3700, while the decline is constrained around the demand zone, which ranges from 1.3480 to 1.3500. is shown. The 50-period Exponential Moving Average (EMA) at 1.3567 overlaps the Ronnie price, indicating a range-bound structure.
Also, the Relative Strength Index (RSI) (14) fluctuates between 40.00 and 60.00. This indicates that investors are waiting for new triggers to open positions.
Looking ahead, a decisive break above the December 16th high of around 1.3700 will strengthen the USD and push the Looney asset towards the October 25th high of 1.3748 and the November 3rd high of 1.3808.
Conversely, the major may drop to the November 23rd high of 1.3440 after abandoning the sentimental support at 1.3500. If it breaks below 1.3440 after that, Looney’s assets could fall further towards his December 5th low of 1.3385.
USD/CAD 4-hour chart