CAD/HUF is popular currency pair on Forex. CAD/HUF is the cross rate against the US dollar. Although the US Dollar is not in this currency pair, it has a significant impact on it. It can be seen if you combine two charts: CAD/USD and USD/HUF. Consequently, you can get an approximate CAD/HUF chart.
The US dollar has a significant influence on both currencies. For this reason it is necessary to take into account the major US economic t correctly a future course of this financial instrument. These indicators are the discount rate, GDP, unemployment rate, Non-Farm Payrolls, etc. Is necessary to note that discussed currencies could respond with different speed on changes in the US economy, therefore, the CAD/HUF currency pair may be a specific indicator of change for these currencies.
The Canadian dollar is very dependent on world oil prices. Canada is one of the largest world exporters of oil. Thus, when with the oil prices are increasing, the cost of the Canadian dollar is also growing, and when the oil prices are decreasing, the cost the Canadian dollar is falling. Thus, for the currency pair CAD/HUF, there is a direct dependence on world oil prices.
The course of this trading instrument was linked to the euro since its introduction into circulation in most countries of the European Union until 2008, when Hungary refused to anchor its currency to the Euro due to the absence of further benefit.
Hungary is a country with a high proportion of foreign capital in the economy. For this reason, the Hungarian economy is highly dependent on organizations and countries operating in this Central European state.
Hungary is an advanced industrial country in Central Europe. The main economic sectors in Hungary are engineering, metallurgy industry, and chemical industry. Also Hungary has a very developed agriculture, a significant proportion of which are gardening and wine-making industries. Much of the products are exported abroad. A significant proportion of Hungarian income is international tourism. Being attracted by the nature of the country and its ancient traditions and architecture, millions of foreigners visit this country annually, because they. Hungary's main trading partners are the EU countries and Russian Federation. For this reason, when you assess the further course of the Hungarian forint, you should pay special attention to economic indicators of these regions.
If you trade cross rates, it is necessary to remember that are usually set a higher spread than the more popular currency pairs, so before you start working with the cross-rates, you should read and understand the conditions offered by the broker to trade with specified trading instrument.