• USD/CAD edged higher on Tuesday as defusing trade tensions between the United States and the European bloc and boosted investor sentiment.
• Following a weekend call with the European Commission president, Trump delayed his 50% tariff threat on EU goods. The new deadline is set for July 9.
• Trump’s shifting tariff stance and rising concerns over the U.S. deficit have weakened sentiment toward U.S. assets, weighing on the dollar.
• On the data front, an index tracking US consumer confidence rose to 98 in May, a Conference Board report showed. Economists polled had expected the index to stand at 87.
. •At GMT 14:49, the pair was trading up 0.23 percent at 1.3769
• Immediate resistance is located at 1.3837(38.2%fib), any close above will push the pair towards 1.3878(61.8%fib).
• Support is seen at 1.3686(23.6%fib) and break below could take the pair towards 1.3627(Lower BB).
Recommendation: Good to sell around 1.3800 with stop loss of 1.3870 and target price of 1.3720
