FxWirePro: USD/CAD recovers slightly but bearish outlook persists

• USD/CAD edged higher  on Wednesday   as stronger greenback offset higher oil price, while  investors assessed the implications of the Middle East conflict

•    The U.S. dollar rose against a basket of major currencies as investors remained on edge over further escalation in the Middle East conflict that has driven up energy prices worldwide..

• Investors have moved in recent days to price in an interest rate hike this year after the spike in oil prices raised concerns globally about the outlook for inflation.

• Looking ahead, Canadian trade data for January is due on Thursday and the February employment report is set for the end of the week, which could guide expectations for next week's Bank of Canada interest rate decision..

•Investors remain on edge as the Middle East conflict threatens to freeze global energy trade and ignite a price shock

• Immediate resistance is located at 1.3653(38.2%fib), any close above will push the pair towards 1.3730(Psychological level).

• Support is seen at 1.3565(38.2%fib) and break below could take the pair towards 1.3563(Lower BB).

Recommendation: Good to sell around 1.3610, with stop loss of 1.3680 and target price of 1.3550