USDCAD propels as economic divergence deepens.
“Greenback remains at the forefront as investor gears up for further hawkishness from the Federal Reserve.”
USDCAD extended its gains past 22 months high as economic development in between US and Canada shows significant contrast. Latest report shows that Canada’s inflation rate begins to cool off with July’s figure coming at 7.6% versus previous peak of 8.1%. As US inflation lingers at higher threshold, investors expect Federal Reserve to maintain its bullishness for a longer period.
Quick recap on USDCAD
The pair remains supported by the upward trendline from the downside, emphasizing overall long-term structure for further bullishness ahead.
USDCAD Weekly Technical Analysis
From weekly perspective, the pair has recently closed above 1.3050 and overall momentum suggests further extension towards the upside.
USDCAD Daily Technical Analysis
From daily perspective, the pair is currently testing at 1.3390, one of the key levels to lookout for in terms of trend confirmation.
ORDER: BUY STOP
STOP LOSS: 1.3310
Target 1: 1.3515
Target 2: 1.3585
ZFX Analyst’s Comment
Overall, the pair is expected to extend its bullishness as its momentum failed to be jeopardized by previous bears.
Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.
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