How can You trade the EUR/CAD?
There are 3 ways in which you could trade the euro versus the Canadian dollar, the first of which is trading futures, a derivative product, which is often a bit complex for new traders to invest in by themselves.
Another option is trading this currency pair via the bank or other similar financial institutions, but then the payout is often slow and not as exciting.
The best option is to open a live trading account with a leading and FSCA regulated brokerage such as CM Trading, where you can enjoy advanced trading conditions and incredible educational packages that are tailored to your individual needs as a trader.
What factors influence the EUR/CAD?
The factors that influence the euro the most are the ECB’s interest rate decisions, employment changes, and consumer confidence.
The Canadian dollar, on the other hand is affected by the balance of trade, unemployment rates, and the Bank of Canada’s interest rate decisions.
Given Canada’s status as a provider of natural resources, it is wise to track commodities like copper, timber, oil, and others.
What to consider when trading the EUR/CAD?
Did you know?
The Canadian dollar was first used in 1858 and became the sole official currency, unifying the various provinces under the Uniform Currency Act in 1871.
Over its rich history, the Canadian dollar was pegged to the US dollar and gold, while being allowed to float freely.