USDCAD. Canada’s GDP Report (31 August 12:30 GMT)

Thanks to the consolidation of oil prices – Canada’s main export – the country’s economy has stabilized. This enabled the government to revisit its goals and methods and to optimize the spending. Just like in the other countries where the main export is a raw material, Canada is trying to venture more into high-tech industries and reprofile the economy.

That’s why if the GDP growth data exceeds expectation, it will give the Canadian dollar a boost.

On 2nd of August crude oil price got back to 47.64 level from 39.15 (increased by 21.56%) and even tested psychological level = 49.00 before that. It had a positive impact on Canadian dollar.

USDCAD chart:

There is still a tiny upward trend on USDCAD D1 chart, but according to the indicators of technical analysis “Relative Strength Index” and “ADX” there are no factors have an impact on the rate, it means that fundamental factors prevail at the moment.