FxWirePro: USD/CAD faces strong support at 1.34000, good to buy on dips

• Major resistance- 1.35880 (Nov 14th high)
   
• Major support – 1.34000
   
• Lonnie recovered sharply after making a low of 1.3399. It is currently trading around 1.35570.
   
• USD has gained sharply against all major pairs on increasing expectations of Fed rate hike on December.                
• The pair has temporary top around 1.35880 and any break above will take the pair to next level till 1.3660/1.37000.
   
• On the lower side, minor support is around 1.3500 (5- day MA) and any break below will drag the pair down till 1.3440 (10- day MA)/1.34000.
   
• Any close below 1.34000 confirms further weakness.


• The FxWirePro Hourly USD Strength index at 600 GMT stood at 162 (Highly bullish) and CAD at 58 (Neutral).So it is good to go long on USD and Short on CAD.

It is good to buy on dips 1.3500 with SL around 1.3440 for the TP of 1.3660/1.3700.