FxWirePro: USD/CAD gains some ground but bias is bearish

  ·  USD/CAD advanced above 1.3700 level as investors grew more risk averse and U.S. inflation data boosted the greenback.

•    The U.S. dollar rose for a second consecutive session after strong inflation data reinforced expectations of persistent price pressures, while doubts over the Iran ceasefire boosted demand for the safe-haven greenback.

•   U.S. consumer inflation increased further in April, with the annual rate posting its largest gain in three years.

•  The price of oil, one of Canada's major exports, was trading 3.5% higher at $101.52 a barrel as supply concerns moved back into the spotlight.

• Data on Friday showed Canada’s economy lost 17,700 jobs in April, while the unemployment rate climbed to a six-month high of 6.9%, highlighting ongoing labor market weakness amid trade uncertainty.

• Immediate resistance is located at 1.3725(50%fib), any close above will push the pair towards 1.3742(Higher BB).

• Support is seen at 1.3659(SMA 20) and break below could take the pair towards 1.3623(38.2%fib).

Recommendation: Good to sell around 1.3700, with stop loss of 1.3900 and target price of 1.3630