FxWirePro: USD/CAD extends gains after US labor market, inflation data

• USD/CAD rose higher on Thursday  as U.S. dollar extended gain after upbeat US economic data.

• The Labor Department reported on Thursday initial claims for state unemployment benefits dropped 4,000 to a seasonally adjusted 217,000 for the week.

•In the latest reading on inflation, the producer price index (PPI) for final demand rose 0.2% last month, matching expectations, after an upwardly revised 0.1% gain in September.

• The data comes after Wednesday's consumer price index (CPI) climbed as expected in October despite increasing expenditures for housing, such as rent.

• The results did not modify the Federal Reserve's forecast for a third interest rate cut next month.

•  Immediate resistance is located at 1.4040(23.6%fib), any close above will push the pair towards 1.4054(Higher BB).

• Support is seen at 1.3988(Daily low) and break below could take the pair towards 1.3937( (38.2%fib).

Recommendation: Good to buy around 1.4010, with stop loss of 1.3920 and target price of 1.4090