• USD/CAD strengthened on Friday as investors focus shifted to policy changes from U.S. President-elect Donald Trump when he takes office next week.
•Uncertainty over the potential for some of Trump's policies such as tariffs to rekindle rising inflation pressures and slow the path of Fed rate cuts has weighed on risk sensitive currencies recent weeks.
•Meanwhile, investors will also look to next week's domestic inflation data for more clarity on the Bank of Canada's policy rate path.
• At GMT 16:03, the pair was up 0.50% at 1.4464, marking its highest level since January 3rd 2025.
• Immediate resistance is located at 1.4479(38.2%fib), any close above will push the pair towards 1.4479 (23.6%fib).
• Support is seen at 1.4393(50%fib) and break below could take the pair towards 1.4311(61.8%fib).
Recommendation: Good to buy around 1.4430, with stop loss of 1.4300 and target price of 1.4540
