FxWirePro: USD/CAD maintains bullish bias with focus on 1.4000

• USD/CAD rose further on Friday as the Canadian dollar came under pressure following U.S. inflation data that boosted bets on a Fed rate hike next week.

• U.S. consumer prices accelerated in August, while a key measure of underlying inflation posted its largest increase in four months, strengthening expectations that the Federal Reserve will raise interest rates next week. 

•An intensifying trade war between the United States and Canada has also hurt the Canadian dollar this week, as roughly 70% of Canada's exports, including oil, are shipped to the U.S.

•Bank of Canada Governor Tiff Macklem last week said that policymakers were prepared to raise borrowing costs multiple times if inflation remained too high.

• Investors see a 57% chance that the Canadian central bank will tighten policy at its next meeting on October 28, swap market data showed.

 •  Immediate resistance is located at 1.3884(50%fib), any close above will push the pair towards 1.3939(Higher BB.).

• Support is seen at 1.3839(Lower BB) and break below could take the pair towards 1.3743(Lower BB).

Recommendation: Good to buy around 1.3820 with stop loss of 1.3730 and target price of 1.4000