July 8, 2022

These Currencies Are All Buys Now

Frank Cabibi

Big news came out today that will be setting the stage for next week for major pairs. The market heatmap shows unusually high swings for multiple pairs after NFP and interest rate news for the US, Canada and Australia. Here are some of the best trade setups we see on these currencies right now that could carry over for the next several sessions.

Employment Change

The US and Canada released jobs data this Friday, and the numbers were unexpected. Canada saw 43,000 jobs lost in June but also saw a fall in unemployment. Whereas in the US, NFP beat expectations by 112,000 jobs added while the unemployment rate remained where it was.

CAD & USD Jobs Data

What we might be able to interpret from today's job data is that Canada is experiencing better employment despite the drop in jobs in June. In the US's case, June's numbers beat the forecast but still came in lower than May's report.

Ever since March, US job change has decreased to lower and lower levels which could be suggesting a slowdown in the economy. Depending on solely these events, Canada's economy looks to be in better shape. In fact, unemployment in Canada reached a record low.

This means that Canada's central banks may feel more comfortable raising rates to cap inflation. It also means that the US central bank could be raising interest too aggressively and may suggest a slowdown. However, Powell has already stated that he and the Fed have an "unconditional obligation to fighting inflation" in the latest FOMC statements.

So, to sum things up, US and Canada are still likely to keep raising interest rates to lower borrowing costs and making their currency stronger.

Australia's Interest Rate

AUD interest rates

Australia decided to raise rates as expected. The RBA punched it higher to 1.35% from 0.85%. The country's economy has been showing improvement since October. If that trend continues, Australia's bank may feel encouraged to keep hiking as planned.

With this in mind, AUD, USD and CAD may all be buys next week.

Pairs To Trade



UJ attempted to break resistance twice at a double top. If price comes down to the rising trend line on the 4H timeframe, it may find strong enough support to bounce up from and retest the highs. However, a break lower could take price down to the 134s.



Aussie-Swiss is already moving up quickly, but price has reached resistance on the 4H. A test on this level could cause a retracement or a break to the upside. Either way, this could be a good entry to look for because a move higher could lead to testing support around the 0.68400s.



This pair has already taken heavy falls in the last month, but further downside may continue on a weaker euro. Price is consolidating right now, and the pair could be ready for a move soon. If price moves higher, there's a couple levels of resistance that could serve as reliable short setups. 1.32471, 1.32948 and 1.33868 respectively.

A1 Edgefinder

Save time looking for setups with the EdgeFinder's watchlist! In a glance, see the EdgeFinder's current top buys and top sells.

10% off code: 'READER'

Access Now


Trading Plan Template
Struggling to build a successful trading plan? Download our template to get started today!
Smart Money Likes USD and Gold

As of 9:10 am EST, the 10-Year bond rate is up ~3.50% while the dollar index remains flat. Some big news coming up in the next 24 hours for the USD, EUR and AUD. US consumer confidence is expected to fall from the last reading. We received a strange signal from the EdgeFinder that could […]

Read More
Why Gold Is Going Over $2000

This week, we have seen a lot of market swings in sentiment along with uncertainty around economic stability. Because of this mixed mindset, investors have been shifting their interest towards gold. This article will cover why gold could continue to move higher. Medium to high impact news is coming up for all currencies such as […]

Read More
Major Moves Ahead For USD

There are some major news ahead for the EUR, CAD, AUD and USD pairs this week. Wednesday will be another Fed rate decision forecasted to be another 25 bp. Here are some events set to come out tomorrow: EdgeFinder Analysis UC is still the EdgeFinder's favorite buy score along with USDZAR at +7. Retail is […]

Read More
DISCLAIMER: All comments made by TraderNick’s Forex Group, LLC are for educational and informational purposes only. All comments should not be construed as investment advice regarding the purchase or sale of any securities or financial instrument of any kind. Please consult with your financial adviser before making an investment decision regarding any securities or financial instruments mentioned by TraderNick’s Forex Group, LLC. TraderNick’s Forex Group, LLC assumes no responsibility for your trading and investment results. All information on any of the platforms utilized by TraderNick’s Forex Group, LLC was obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. TraderNick’s Forex Group, LLC, its employees, representatives, and affiliated individuals may have a position or effect transactions in the securities and financial instruments herein and or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies. Trading of any type involves very high risk and may not be suitable for all investors. TraderNick’s Forex Group, LLC, its subsidiaries and all affiliated individuals assume no responsibility for your trading and investment result. Read our full disclaimer here
homesmartphonelaptopmenu linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram