• USD/CAD dipped on Tuesday as investors awaited the highly anticipated central bank decisions from the U.S. Federal Reserve and the Bank of Canada.
•Investors awaited the highly anticipated central bank decisions from the U.S. Federal Reserve and the Bank of Canada.
• Traders widely expect the Fed to deliver a 25-basis-point rate cut when it concludes its meeting on Wednesday, while the Bank of Canada is also set to announce its rate decision the same day.
•The Bank of Canada looks set to lock its policy rate at 2.25 percent for an extended period, shaping a prolonged low‑yield environment that pension and benefit plans will have to navigate..
• Immediate resistance is located at 1.3858(50%fib), any close above will push the pair towards 1.3900(Psychological level).
• Support is seen at 1.3789(Lower BB) and break below could take the pair towards 1.3737( 38.2%fib).
Recommendation: Good to sell around 1.3850, with stop loss of 1.3920 and target price of 1.3750
