• USD/CAD eased slightly on Monday as investors took the opportunity to lock in profits and assess market conditions ahead of the New Year.
• Trading volumes are expected to remain light in the holiday-shortened week, with markets closed on Wednesday for the New Year.
• Market participants are also preparing for potential policy shifts in the United States with Donald Trump's return to the White House.
• Trump has pledged a 25% tariff on all imports from Canada, which could significantly impact the country’s crude exports to the United States.
• Immediate resistance is located at 1.4453(23.6% fib), any close above will push the pair towards 1.4523 (Higher BB)
• Support is seen at 1.4348 (Dec26th low) and break below could take the pair towards 1.4274(38.2%fib).
Recommendation: Good to buy around 1.4380, with stop loss of 1.4300 and target price of 1.4500