It was a dismal week for the Canadian dollar, which plunged almost 4 percent. USD/CAD went as high as 1.4667 before recovering late in the week. There is only one event on the calendar. Here is an outlook at the highlights and an updated technical analysis for USD/CAD. In Canada, manufacturing sales contracted for a fifth straight month, with a decline of -0.2% in January. This was an improvement compared to the previous reading of -0.2%. Consumer inflation edged up to 0.4% in February, up from 0.3% in January. Core CPI, which excludes the most volatile items in CPI, improved to 0.7%, up from 0.4% a month earlier. Retail sales reports were mixed. Core retail sales declined by 0.1% in January, compared to 0.5% a month earlier. The headline release bounced back with a gain of 0.4%, after a reading of zero. In the U.S., the Fed slashed rates at the start of the week, from 1.25% to 0.25 percent. This emergency cut was in response to the meltdown in the financial markets. Later in the week, the Fed announced it was establishing a Commercial Paper Funding Facility, in order to keep credit flowing to the economy. On the manufacturing front, the Empire State Manufacturing Index plunged by -21.5 points, compared to the forecast of +5.1 points. Core retail sales fell by 0.4%, while retail sales declined by -0.5%. USD/CAD daily chart with support and resistance lines on it. Click to enlarge: Wholesale Sales: Monday, 12:30. Wholesale sales is a leading indicator of consumer spending. After two straight declines, the indicator rebounded with a strong gain of 0.9%, above the estimate of 0.5%. We now await the January data. USD/CAD Technical Analysis Technical lines from top to bottom: With USD/CAD climbing sharply last week, we start at higher levels: We begin with resistance at 1.4754. This line was a cushion back in May 2000. 1.4584 is next. 1.4480 was an important cushion in April 2000. 1.4310 was tested last week. It is currently an immediate support level. 1.4159 (mentioned  last week) has switched to a support role for the first time since January 2016. 1.4019 is protecting the symbolic 1.400 level. It is the final support line for now. I remain bullish on USD/CAD The meltdown in the financial markets is not showing any signs of easing up, which means that minor currencies like the Canadian dollar will likely remain under pressure. Follow us on  Sticher  or  iTunes Further reading: EUR/USD forecast  – for everything related to the euro. GBP/USD forecast  – Pound/dollar projections. AUD/USD forecast  – analysis for the Aussie dollar. USD/CAD forecast  – Canadian dollar predictions. Forex+ weekly forecast  – Outlook for the major events of the week. Safe trading! Kenny Fisher Kenny Fisher Kenny Fisher - Senior Writer A native of Toronto, Canada, Kenneth worked for seven years in the marketing and trading departments at Bendix, a foreign exchange company in Toronto. Kenneth is also a lawyer, and has extensive experience as an editor and writer. Kenny's Google Profile View All Post By Kenny Fisher Canadian Dollar ForecastMinorsWeekly Forex Forecasts share Read Next Banxico announces emergency 50bps rate cut on Friday FX Street 2 years It was a dismal week for the Canadian dollar, which plunged almost 4 percent. USD/CAD went as high as 1.4667 before recovering late in the week. There is only one event on the calendar. Here is an outlook at the highlights and an updated technical analysis for USD/CAD. In Canada, manufacturing sales contracted for a fifth straight month, with a decline of -0.2% in January. This was an improvement compared to the previous reading of -0.2%. Consumer inflation edged up to 0.4% in February, up from 0.3% in January. Core CPI, which excludes the most volatile items in CPI, improved… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
