US Crude Oil Inventories measures the change in the number of crude barrels held in inventory. The report is published each week. A reading which is higher than the market forecast is bullish for USD/CAD. Here are all the details, and 5 possible outcomes for USD/CAD. Published on Wednesday at 14:30 GMT. Indicator Background As Canada is a major oil producer, the Canadian dollar often mimics the movement of oil prices and improves when oil prices rise. Traders should pay close attention to this indicator, as an unexpected reading can have a strong impact on the movement of USD/CAD. Crude Oil Inventories declined 0.9 million last week, surprising the markets which had expected a small gain of 0.3 million. This marked a fourth straight decline. Another decline is expected in the upcoming release, with an estimate of -1.9 million. Sentiments and levels The Fed stayed on the sidelines last week, and we may not see a rate hike before September. Canadian numbers have been solid, and US numbers appear to have recovered after the dismal Nonfarm Payrolls report. We could see volatility during the week ahead of the Brexit vote on Thursday. So, the overall sentiment is neutral on USD/CAD towards this release. Technical levels, from top to bottom: 1.2990, 1.29, 1.2780, 1.2663, 1.2538 and 1.2459. 5 Scenarios Within expectations: -2.5M to -1.3M. In such a scenario, USD/CAD is likely to rise within range, with a small chance of breaking higher. Above expectations: -1.3M to -0.7M: An unexpected higher reading can send the pair below above one support line. Well above expectations: Above -0.7M: A small decline or a surplus could push USD/CAD below two support lines. Below expectations: -3.2M to -2.6M: A weaker reading than expected could cause the pair to break above on resistance line. Well below expectations: Below -3.2M. In this scenario, USD/CAD could break above a second resistance line For more on the loonie, see the USD/CAD forecast. 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 Opinions share Read Next How NOT to lose money – ACT this week Yohay Elam 6 years US Crude Oil Inventories measures the change in the number of crude barrels held in inventory. The report is published each week. A reading which is higher than the market forecast is bullish for USD/CAD. Here are all the details, and 5 possible outcomes for USD/CAD. Published on Wednesday at 14:30 GMT. Indicator Background As Canada is a major oil producer, the Canadian dollar often mimics the movement of oil prices and improves when oil prices rise. Traders should pay close attention to this indicator, as an unexpected reading can have a strong impact on the movement of USD/CAD. Crude… 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.
