FxWirePro- USDCAD Daily Outlook

Intraday bias - Neutral

USDCAD  gained more than 70 pips from a temporary bottom of 1.28190 on board-based US dollar buying. It recovered above 104.50 despite weak US economic data.  US Conference Board consumer confidence came drops to 98.7 in June vs . Forecast of 100. Richmond manufacturing index came at -19 for June vs –9 prior. Market eyes US Fed chairman Powell's speech for further direction. The rebound in oil prices prevents the pair from further upside. Technically in the 4- hour chart, the pair is holding below the short-term (21- and 55 EMA) and above the long-term moving average of 200 EMA (1.28268). Any close below 1.2820 confirms a bearish continuation. A dip to 1.2778/1.2700 is possible. USDCAD hits an intraday high of 1.28905 and is currently trading around 1.28847.

The near-term resistance is around 1.2900, any breach above targets 1.2920/1.2955/1.3000/ 1.3080.

Indicators (4 Hour chart)

CCI (50)- Bearish

ADX- Neutral

It is good to sell on rallies around 1.2900 with SL around 1.2950 for TP of 1.2800.