FxWirePro: USDCAD Daily Outlook
Ichimoku analysis (4-Hour Chart)
USDCAD continues to trade within a channel for the past one-month. The pair recovered more than 150 pips from a multi-month low on short covering. The Canadian retail sales rose to 1.3% in Nov compared to a forecast of 0.0%. USDCAD hits an intraday low of 1.26872 and currently trading around 1.26966.
WTI crude oil declined to $51.52 after US EIA crude oil inventory data. It came at 4.4 million compared to a forecast of -1.2M. Any violation below $51.50 confirms bearish continuation, a dip till $50 likely.
Technically, the pair faces near term resistance at 1.2730. Any indicative break above will take till 1.2765/1.2790. The near term support is around 1.2680 an indicative violation below will take to the next level till 1.2650/1.2630.
It is a good buy on dips around 1.2680-825 with SL around 1.2650 for a TP of 1.2790.