FxWirePro- USDCAD Daily Outlook

Intraday bias - Bullish

USDCAD breaks the previous month's high after a long consolidation. It hits an intraday high of  1.34365 and is currently trading around 1.3385.

The dismal Canadian jobs data and hawkish comments from fed officials support the pair at lower levels. Fed governor Michelle Bowman stated that "I also expect that additional rate increases will likely be needed to get inflation on a path down to the FOMC's 2 percent target."

The pair is holding above the short-term( 21- EMA), 55 EMA, and below the long-term moving average of 1.32649 (200- EMA). Any violation above 1.3465 confirms further bullishness. A jump to 1.3500/1.3560 is possible.

WTI crude oil declined more than $2  on easing Chinese demand and the strong US dollar. Any break below $80.75 will push oil prices down to $80/$78.60.  

The near-term support is around 1.3380 and any breach below targets is 1.3340/1.3300.

Indicators (4-Hour chart)

CCI (50)- Bullish

ADX- Neutral

It is good to buy on dips around 1.3420 with SL around 1.33780 for a TP of 1.3500.