Intraday bias - Bullish
USDCAD recovered sharply after hitting a low of 1.3070 on board-based US dollar buying. US dollar index hits 20- year high on upbeat US jobs data. US economy has added 315000 jobs in Aug compared to a forecast of 295K. The rate of unemployment rose to 3.7% vs an estimated 3.5%. Average hourly earnings came at 0.30% below the consensus of 0.40%.
Technically in the 4-Hour chart, the pair is holding above the short-term( 21- EMA), 55- EMA, and the long-term moving average of 200 EMA (1.29590). Any jump above 1.3220 confirms a bullish continuation. A jump to 1.3300/1.3345/1.3420 is possible. USDCAD hits a high of 1.31718 and is currently trading around 1.31639.
WTI crude oil pared some of its loss on OPEC meeting later today and the energy crisis in Europe. Any breach above $90 confirms further bullishness.
The near-term support is around 1.3145, and any breach below targets 1.3070/1.3020/1.2965.
Indicators (4 Hour chart)
CCI (50)- Bullish
ADX- Neutral
It is good to buy on dips around 1.30128-30 with SL around 1.3070 for TP of 1.3220/1.3300.
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