FxWirePro: Buy USDCAD on dips

Ichimoku analysis (Hourly Chart)

Tenken-Sen- 1.33895

Kijun-Sen- 1.33785

USDCAD has once again recovered after hitting a low of 1.33255. The weak oil and broad-based US dollar buying are putting pressure on the Canadian dollar. The Canadian economy is wholly dependent on exports and an increase in the number of coronavirus cases is expected to put pressure on the economy. It hits an intraday low of 1.33460 and currently trading around 1.33061.

WTI crude oil has shown a minor decline from the top of $41.46. Any break below $39.74 confirms minor weakness, a dip till $38.95 likely.

Technically, the pair faces near term resistance at 1.3420. Any violation above targets 1.3475/1.3500. The near term support is around 1.3320, indicative break below will take to the next level till 1.3280/1.3235.

It is good to buy on dips around 1.3350 with SL around 1.3300 for the TP of 1.3475/1.34500.