- The USD/CAD has rebounded strongly from 1.21302 level and is approaching the resistance level at 1.22351. The pair is trading at the level of 1.1404.
- Canada's core CPI (0830 GMT) is expected to show a firm 0.4% advance, supported by continued stagnant meat prices and a increase in prices for travel services, with the latter likely to be aided by past CAD depreciation, headline CPI is expected to post a sizeable 0.6% gain.
- Major support is seen at 1.21661, a break below at this level will open the door to 1.20717
Recommendation: Go long above 1.22036 with Targets 1.22831, 1.23146 SL 1.21047
Resistance Levels
R1:1.22351 (23.6% Retracement level)
R2:1.22996 (38.2% Retracement level)
R3:1.23461 (50% Retracement level)
Support Levels
S1:1.21661(61.8% Retracement level)
S2:1.21287
S3:1.20717 (76.4% Retracement level)
