FxWirePro: USD/CAD consolidating around 1.4200 room for further gains

• USD/CAD consolidated around 1.4200  on Friday as lower oil prices weighed on the Canadian dollar, offsetting broad U.S. dollar weakness following softer-than-expected U.S. jobs data.

•  U.S. job growth slowed sharply in June and payroll gains for the prior two months were revised lower, prompting traders to trim bets on a near-term Fed rate rise.

•The U.S. price of oil was up 0.1% at $68.78 a barrel as traders held on to hopes for a successful outcome from attempts to secure peace between the U.S. and Iran.

•On the domestic front, home sales in the Greater Toronto Area rose for a fourth straight month in June, while home prices also increased, signalling a continued recovery in Canada's housing market.

•Investors now expect the BoC to deliver at least one 25-basis-point rate cut by the end of the year, with markets also assigning some probability to a second cut.

• Immediate resistance is located at 1.4248(23.6%fib), any close above will push the pair towards 1.4301(Higher BB).

• Support is seen at 1.4127(38.2%fib) and break below could take the pair towards 1.4105(SMA 20).

Recommendation: Good to buy around 1.4180, with stop loss of 1.4120and target price of 1.4250