• USD/CAD extends gains on Tuesday as stronger dollar and soft Canadian GDP data weighed on loonie. .
• Canada's gross domestic product was unchanged in July compared to June, matching expectations, while a preliminary estimated showed GDP rising by 0.2% in August.
•U.S. crude oil futures settled 3.5% lower at $89.38 a barrel as investors focused on signs of recovering crude exports from the Middle East. Oil is one of Canada's major exports.
• Market attention is turning to the August PCE index due Wednesday, followed by September’s nonfarm payrolls report on Friday, for signals on the Fed’s rate path..
• Immediate resistance is located at 1.4221(23.6 %fib), any close above will push the pair towards 1.4256(Higher BB.).
• Support is seen at 1.4144(Sep 28th low) and break below could take the pair towards 1.4096(38.2%fib).
Recommendation: Good to buy around 1.4180 with stop loss of 1.4120 and target price of 1.4300


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