• USD/CAD rebounded strongly on Friday as investors assessed the latest U.S. and Canadian jobs data.
• U.S. nonfarm payrolls increased less than expected in August, while the unemployment rate slipped to 4.2% .
• The Canadian unemployment rate rose to 6.6% in August, reaching its highest level in seven years, excluding the pandemic years of 2020 and 2021.
• Meanwhile, the seasonally adjusted Canada Ivey Purchasing Managers Index dropped to 48.2 in August from 57.6 in July, indicating a contraction in economic activity.
• Immediate resistance is located at 1.3568(38.2%fib), any close above will push the pair towards 1.3630 (61.8%fib).
• Support is seen at 1.3477(23.6%fib) and break below could take the pair towards 1.3426( (23.6%fib).
Recommendation: Good to buy around 1.3550, with stop loss of 1.3450 and target price of 1.3660
