FxWirePro: Buy USDCAD on dips

Ichimoku analysis (Daily chart)

Tenken-Sen- 1.32198

Kijun-Sen- 1.31574

USDCAD is trading higher for 3rd consecutive days due to sell-off in US markets. The increase in the number of new coronavirus cases is putting pressure on commodity-driven currencies like the Canadian and Australian dollar. The Canadian economic data released previous weeks, such as manufacturing and retail sales came much below estimate. It hits an intraday low of 1.33460 and currently trading around 1.33061.

WTI crude oil took support near 200-H MA and shown more than $1.5 jump. Any break below $38.50 confirms further weakness, a dip till $36 likely. It is hovering at $40.

Technically, the pair faces near term resistance at 1.3350. Any violation above targets 1.3435/1.3500. The near term support is around 1.32925, indicative break below will take to the next level till 1.3265/1.3200.

It is good to buy on dips around 1.3295 with SL around 1.3250 for the TP of 1.3400.