FxWirePro- USDCAD Daily Outlook
Ichimoku analysis (4-hour chart)
The pair recovered sharply despite weak US jobs data. The economy has added 210000 jobs in Nov compared to an estimate of 550000. The unemployment rate came at 4.2% from 4.6% the previous month. The Canadian employment change came at 153.7K better than the forecast of 36.5K, unemployment dropped to 6% compared to 6.7% in October. The overall weakness in crude oil price due to the spread of the Omicron virus is also putting pressure on the Canadian dollar at higher levels. USDCAD hits an intraday low of 1.27951 and is currently trading around 1.27956. The intraday trend remains bullish as long as support 1.2740 holds.
Intraday Trend –neutral
The near-term resistance is around 1.2850, a breach above targets 1.2900/1.2960/1.3000.On the lower side, immediate support stands around 1.2720; violation below will take the pair down to the next level 1.2680/1.2640/1.2600.
It is good to buy on dips around 1.2758-60 with SL around 1.2700 for a TP of 1.2849.