• USD/CAD rose on Tuesday as lower oil prices and stronger dollar weighed on Canadian dollar.
•Recent robust U.S. economic data, including evidence of a resilient job market, have prompted a scaling back of bets on further Federal Reserve easing this year, boosting the dollar.
• The dollar is heading for its largest monthly rise against a basket of major currencies in 2-1/2 years.
• On the data front, U.S. job openings fell in September, suggesting a weakening labor market and raising expectations of two separate quarter-point interest-rate cuts later this year.
• Technical signals are bullish as RSI is at 75, daily momentum studies 5, 9 and 10 DMAs are trending up.
• Immediate resistance is located at 1.3930 (23.6%fib), any close above will push the pair towards 1.4000(Psychological level.
• Support is seen at 1.3879(5SMA) and break below could take the pair towards 1.3847 (38.2%fib).
Recommendation: Good to buy around 1.3900 , with stop loss of 1.3820 and target price of 1.3980
