Article Highlights

  • CA CPI shows 0.1% growth vs. 0.3% decline expected, 0.1% uptick previous
  • CA annualized CPI grows by 2.4% vs. 2.1% growth expected
  • CA core CPI up by 0.3% vs. 0.2% uptick expected, 0.2% growth previous
  • Japanese markets out on Labor Thanksgiving Day holiday
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Thanks to a lack of major economic data, the U.S. forex trading session saw a lot of consolidations and slight extensions of the London session’s price action.

Canada was the only major country to produce an economic report. Inflation in the Great White North grew by an annualized rate of 2.4%, higher than the 2.1% uptick that the BOC was expecting for Q4 2014 and a four-month high for the report. Apparently, higher prices for food and shelter boosted the report. Shelter costs include everything from gas and electricity bulls as well as property taxes, rent, and mortgage payments.

The Loonie gained across the board at the report’s release. Of course, it also didn’t hurt that WTI crude oil prices inched 71 cents higher to $76.56.

USD/CAD slipped by 17 pips throughout the session to 1.1239, EUR/CAD fell by 55 pips to 1.3928, and AUD/CAD, which shot up to .9844 at the news of China’s interest rate cut, fell back down to its .9743 closing price.

The euro wasn’t as lucky as the Loonie. Draghi’s dovish speech during the London session continued to weigh on the common currency, as U.S. session traders started pricing in his statements. If you recall, the ECB head honcho reminded that the central bank is committed to its inflation mandate, and that it’s open to adding more stimulus to the economy.

EUR/USD fell by another 31 pips to 1.2392, EUR/JPY lost another 70 pips at 145.88, and EUR/GBP slipped by another 13 pips to .7913.

Will we see more euro weakness and comdoll strength today? Japanese markets are out on Labor Thanksgiving Day holiday and we don’t have any major news on tap over the next couple of hours. This doesn’t mean that you shouldn’t pay attention to your charts though. Use the time to identify trade opportunities and to make your trading plans for the week.

Good luck!

See also:

London Session Recap

Bonnie and Clyde, peanut butter and jelly, Justin Bieber and his hair. Some things just go well together.

In forex trading, you get better odds at securing pips when your fundamental analysis is complemented by technical analysis.

Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!