The Non-Farm Payrolls (NFP) report, is a key economic indicator to unleash significant volatility in the financial markets. Traders and investors are eagerly anticipating the release of this vital data, which will likely create substantial price movements for ETHUSD (Ethereum vs. US Dollar) and USDCAD (US Dollar vs. Canadian Dollar). This article analyses the potential impact of the NFP report on these currency pairs and provides insights into potential trading opportunities.

The ETHUSD Performance

Price has been moving in correlation with BTCUSD.

A bullish expanding triangle pattern has formed on the weekly and daily timeframe. Price has hovered around the monthly pivot points for a couple of weeks. Price is still inside the triangle, looking to possibly push down one more time to touch the support of the structure, we could see the upside come in next week. Traders are to monitor the NFP release and the possible volatility it could bring to this instrument.

The GER30 Performance 

The Monthly timeframe on this Index shows a steep uptrend, showing some exhaustion around the price point of 15882.28. We are looking to trade the exhausted area of the movement below 15882.28. The next pivot point within the dominant structure is at 14643.28. We have taken the range and produced two main Targets. 

A trendline was drawn to see whether the price respects the zones, and a break occurred as well as a retest. We now wait for the daily frame to close below the 15882.28 again giving us further follow through to the downside. Target 1 is at 15265.00 Target 2 is at 14643.28. The rising wedge should also be broken as an additional barrier to confirm more follow-through of the downside.

The USDCAD Performance

Initially, we had a short for this pair, correlating with Oil, the update for traders to possibly get out of the short for the moment due to dollar strength on the rise. The first rising wedge price pattern was complete with the downside to support level 1.31100. We saw traders catch the movement with profits however the support was overwhelming.

Watch: Opening Bell

Final Thoughts On Today’s Analysis 

The upcoming NFP release has expectations to create substantial moves for ETHUSD and USDCAD pairs. Traders should stay informed about market expectations and carefully monitor the actual NFP figures. Implementing a comprehensive trading plan, combining fundamental and technical analysis, and practising risk management will be crucial during this high-volatility event.