FxWirePro: USD/CAD downside pressure builds, key support level in focus

• USD/CAD edged lower on Wednesday as the Canadian dollar gained amid optimism over a possible end to the U.S. government shutdown.

• The U.S. House will vote Wednesday on a stopgap funding bill to end the record government shutdown, restore key services, and pay federal workers.

•The reopening is expected to trigger a flood of delayed economic data releases, including the highly anticipated monthly jobs report.

• Traders are currently pricing in a 63% probability of a 25-basis-point reduction at December's monetary policy meeting, according to CME Group's FedWatch tool.

• A host of Fed policymakers, including Governor Christopher Waller, are scheduled to speak through the day.

•  At GMT 16:15,the dollar   was down 0.12 % at 1.4002 against Canadian dollar.

•  Immediate resistance is located at 1.4031(38.2%fib), any close above will push the pair towards 1.4082 (Octt 14th high).

• Support is seen at 1.3946(50%fb) and break below could take the pair towards 1.3911(Lower BB).

Recommendation: Good to sell  around 1.4010, with stop loss of 1.4080  and target price of 1.3940