JLS007: USDCAD Heading South in Medium and Long Terms
The harmonized U-Shape time series currency band of the USDCAD and CADUSD is indicating for USDCAD turned to downward in medium and long terms. CAD represents the highest interest rate after the USD for major currencies (USD, CAD, NZD, AUD, GBP, EUR, JPY and CHF) after the RBNZ cut the NZD interest rate down to 1.50 %. The rate cutting responded by the global currency band by adjusting their prices alignments.
Accordingly, in long term the USDCAD will move to downward by align, realign and cntinuously realignment of the medium term target zones to downward but will be bullish to upward in short term interior the medium term target zone.
The turning point to downward in long term seems set at 1.3500/1.3600 but with possible price adjustment. At such, from the 1.3500/1.3500 level, the USDCAD will continue to bearish to downward in long term, may up to over 5 years. The current major currency pairs directional movements by U-Shape bands are to as follows:
USDJPY - downward in medium and long term (upward in short term interior the medium term)
USDCHF - downward in short term, interior the medium term, but the medium and long terms to upward
EURUSD - upward in short term, interior the medium term, but the medium and long terms to downward
GBPUSD - upward in medium and long terms (downward in short term interior the medium term)
AUDUSD - downward in medium term, and long term to downward and upward in short term interior the medium term
NZDUSD - downward in medium term, and long term to downward and upward in short term interior the medium term
USDCAD - downward in medium and long terms (upward in short term interior the medium term)
The long term price target zones averaged to 50 % to 75 % and the medium term price target zones averaged to 5% - 10 % - 15 % by Plaza, Louvre, Accord and consensus policies and the short term price target zones averaged 50 % of the Plaza, Louvre, EMS and consensus agreed by inter-central banks communication policy.
Your comments and opinions are welcomed.
Accordingly, in long term the USDCAD will move to downward by align, realign and cntinuously realignment of the medium term target zones to downward but will be bullish to upward in short term interior the medium term target zone.
The turning point to downward in long term seems set at 1.3500/1.3600 but with possible price adjustment. At such, from the 1.3500/1.3500 level, the USDCAD will continue to bearish to downward in long term, may up to over 5 years. The current major currency pairs directional movements by U-Shape bands are to as follows:
USDJPY - downward in medium and long term (upward in short term interior the medium term)
USDCHF - downward in short term, interior the medium term, but the medium and long terms to upward
EURUSD - upward in short term, interior the medium term, but the medium and long terms to downward
GBPUSD - upward in medium and long terms (downward in short term interior the medium term)
AUDUSD - downward in medium term, and long term to downward and upward in short term interior the medium term
NZDUSD - downward in medium term, and long term to downward and upward in short term interior the medium term
USDCAD - downward in medium and long terms (upward in short term interior the medium term)
The long term price target zones averaged to 50 % to 75 % and the medium term price target zones averaged to 5% - 10 % - 15 % by Plaza, Louvre, Accord and consensus policies and the short term price target zones averaged 50 % of the Plaza, Louvre, EMS and consensus agreed by inter-central banks communication policy.
Your comments and opinions are welcomed.
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