FxWirePro: USD/CAD recovers slightly but trend is still bearish

• USD/CAD recovered from three month low   on Friday as investors booked profits on short ahead of weekend.

• On Wednesday, the Bank of Canada kept its policy rate unchanged at 2.25%, while the Federal Reserve cut its benchmark rate by 25 basis points. 

• A stronger jobs report had boosted expectations for a BoC rate hike in 2026, but those bets faded after the central bank’s latest policy decision.

•On the data front, Canadian building permits posted an unexpected jump in October, driven by stronger residential construction intentions in Ontario.

• The total value of building permits increased by 14.9% in October to C$13.82 billion on a seasonally adjusted basis equivalent to US$10.03 billion ,Statistics Canada reported Friday.

•  Immediate resistance is located at 1.3827(Dec 11th high), any close above will push the pair towards 1.3852 (50%fb).

• Support is seen at 1.3733(38.2%fb) and break below could take the pair towards 1.3693(Lower BB).

Recommendation: Good to sell  around 1.3800, with stop loss of 1.3860  and target price of 1.3730