The Loonie is being pulled up by oil
Skerdian Meta • 1 min read
The economic data is very light today so all that matters is the market sentiment. The market decided last Friday that it was the right time to buy oil therefore, oil prices have been going up on Friday and today as well. That has helped the Canadian Dollar a.k.a the Loonie and USD/CAD has been sliding about 300 pips from the top at 1.3080s. Now it is around the 1.2780s level.
Meanwhile, USD/JPY opened with a 50 pip gap higher this morning triggering the take profit of our buy forex signal which we opened last Friday. It has declined slowly all day today since the market opened at the beginning of the Tokyo session. The price has reached the 104.40 level now where we can find the 50 moving average (MA) on the hourly chart which is providing support. We decided to open a buy forex signal since the stochastic is oversold too.