FxWirePro: USD/CAD runs out of steam but maintains bullish outlook
The USD/CAD pair inched higher on Tuesday as oil prices, one of Canada's major exports, fell and the greenback climbed broadly ahead of an expected interest rate rise by the U.S. Federal Reserve. Investors globally are a…
The USD/CAD pair inched higher on Tuesday as oil prices, one of Canada's major exports, fell and the greenback climbed broadly ahead of an expected interest rate rise by the U.S. Federal Reserve.
Investors globally are awaiting the Federal Reserve's policy decision on Wednesday where a rate rise is considered a done deal. More important will be what policymakers signal about the prospect of further hikes.
Any suggestion that the Fed might tighten more than three times in total this year would tend to push up the U.S. dollar.
The currency pair is trading around 1.3459 levels and it is set to advance further towards 1.3500 and 1.3550 in the short term.
To the upside, the strong resistance can be seen at 1.3525, a break above will take the pair towards next resistance level at 1.3600.
To the downside immediate support can be seen at 1.3440 levels, a break below will open the door towards next level at 1.3401.
