How to Trade the USD/CAD Forex Pair

The USD/CAD currency pair stands for the Canadian against U.S. dollar. It's one of the most traded currency pairs in the world and is also called trading the "loonie", which is the nickname of the dollar coin in Canada. In this video we'll talk in a bit more detail about the basics of USD/CAD forex trading.

The two most important things that you have to consider when doing a USD/CAD analysis, just like with most major currency pairs, is the influence of the two central banks in Canada and the U.S. The Bank of Canada (BoC),the FED and the difference in their interest rates influence the currency pair the most.

For example, USD/CAD trading levels can change when the U.S. central bank makes the country's currency stronger (and vice versa with the BoC). Positive and negative news from the two economies are also important variables in any USD/CAD trading strategy - GDP numbers, unemployment and inflation on both sides of the border, all have a role to play if you want USD/CAD explained.

If you're studying forex trading for beginners it's vital that you remember the second factor that impacts the value of the Canadian dollar - it has a very high correlation with oil prices (among other comodities). With Canada's economy being essentially intertwined with oil, the price of crude can determine how well the country's economy is doing, as well as the price levels of the currency itself. This has earned the Canadian dollar's characterisation as a "commodity currency".

If you liked this video about trading the USD/CAD forex pair, give us a like and make sure to subscribe to the capital.com channel for more videos on topics like "What are currency pairs" and "How can I learn forex trading?".

Learn the basics about the EUR/USD forex pair, what influences its price and how to perform a solid EUR/USD analysis.

The EUR/USD currency pair stands for the euro against U.S. dollar. It's the most traded currency pair and it include the currencies of the European Union (EU) and the United States (USD). Traders and the public use it to determine how many dollars are required to buy one euro (which is the base currency). In this video we'll talk about the bascis of EUR/USD forex trading.

The EUR/USD forex pair is undoubtedly number one in terms of trading volume, as it represents the two largest economic powers globally. The EU is actually second behind the US in terms of nominal GDP, where it still holds a lead over China.

Forex trading for beginners usually starts with learning how to buy and sell the EUR/USD, as it has at least one currency that most people have heard of.

The two most important things that you have to consider when doing a EUR/USD analysis is the influence of the two central banks in the EU and the U.S. The ECB and the FED and their interest rate differential impacts them more than any other economic factor.

For example, EUR/USD trading levels can change when the FED makes the dollar stronger (and vice versa with the ECB). Positive and negative news from the two economies are also important variables in any EUR/USD trading strategy - GDP numbers, unemployment and inflation on both sides of the Atlantic, all have a role to play if you want EUR/USD explained.

If you liked this video about trading the EUR/USD forex pair, give us a like and make sure to subscribe to the capital.com channel for more videos on topics like "What are currency pairs" and "How can I learn forex trading?".

***
Please note that this video has been uploaded prior to the adoption of the product intervention measures on CFDs to by the European Securities and Markets Authority (ESMA).

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.