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FxWirePro: USD/CAD extends slide, faces 38.2%fib support

• USD/CAD dipped on Thursday  as   loonie gained some traction  hopes Canada could avoid U.S. trade tariffs through negotiations and looked ahead to upcoming domestic GDP data.

• Canadian third-quarter GDP data, due on Friday, could provide insights into the pace of potential interest rate cuts from the Bank of Canada

• The GDP report, along with recent stronger-than-expected inflation data, could prompt the market to reassess the likelihood of another large interest rate cut next month.

•  A daily close below  38.2%fib will further improve the technical outlook, and open the possibility of a drop towards 1.3900 level.

•  Immediate resistance is located at 1.4101(23.6%fib), any close above will push the pair towards 1.4157(Higher BB).

• Support is seen at 1.3984 (38.2%fib) and break below could take the pair towards 1.3896(50%fib).

Recommendation: Good to sell  around 1.4010 with stop loss of 1.4150 and target price of 1.3920

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