FxWirePro: USD/CAD edges higher, but downtrend expected to resume

• USD/CAD edged higher in cautious trade as the market digested soft Canadian retail sales data alongside ongoing U.S.-China tariff negotiations.

• President Trump on Friday said his administration is in talks with China on a tariff deal and claimed Xi Jinping called him, though Beijing disputes the U.S. characterization of events.

• In the interview, Trump added that he would view it as a win if the U.S. continued imposing 50% tariffs on foreign imports over the next year..

• Trump's remarks tempered optimism sparked by China's decision to exempt some U.S. goods from its steep 125% tariffs, signaling continued tension despite apparent trade concessions.

 •  On the data front, Canadian retail sales declined by 0.4% in February, mainly driven by weaker sales at motor vehicle and parts dealers, according to Statistics Canada.

•  Immediate resistance is located at 1.3904(50%fib), any close above will push the pair towards 1.3964(April 16h high).

• Support is seen at 1.3805(38.2%fib) and break below could take the pair towards 1.3676(23.6%fib).

Recommendation: Good to sell  around 1.3870, with stop loss of 1.3950 and target price of 1.3800