FxWirePro- USDCAD Daily Outlook
Intraday bias - Bullish
USDCAD gained sharply despite the hawkish Bank of Canada monetary policy. The Producer price index rose 11.3% in the 12 months through June, the highest reading since Mar 2022. The number of people who have applied for jobless benefits rose by 9000 last week to 244000 compared to a forecast of 235000. Markets eye US retail sales data for further direction. Technically in the 4 -Hour chart, the pair is holding below the short-term( 21- EMA), above 55- EMA, and the long-term moving average of 200 EMA (1.28954). Any violation below 1.3080confirms the intraday bearish trend. A dip to 1.3050/1.3000 is possible. USDCAD hits a high of 1.32234 and is currently trading around 1.31185.
WTI crude oil price gained more than 7% from a minor bottom of $90.54. Any breach below $90 confirms further bearishness.
The near-term resistance is around 1.3140, any breach above targets 1.3185/1.3230.
Indicators (4 Hour chart)
CCI (50)- Bullish
ADX- bullish
It is good to buy on dips around 1.3080 with SL around 1.3048 for TP of 1.3220.
