FxWirePro: USDCAD Trade Idea

• USDCAD is showing minor weakness after hitting high of 1.31246 yesterday. The pair has jumped almost more than 300 pips in this month. The main reason for decline in Canadian dollar was due to weak economic data and policy divergence between US and BOC. The pair has shown a minor dip of almost 70 pips yesterday and is currently trading around 1.30800.
   
• Market eyes US Fed monetary policy meeting which is on Wednesday for further direction. Any hawkish comment by fed will increase chance of further jump in USD.
   
• The near term support is around 1.3050 and any break below will drag the pair to next level till 1.3000/1.2950 level.
   
• On the higher side, temporary formed at 1.3125 will be acting as major resistance and any break above will take the pair to next level till 1.3180/1.3225.

It is good to sell below 1.3050 with SL around 1.3090 for the TP of 1.2955.

Resistance
 

R1-1.3125
 

R2 – 1.3180
 

R3-1.3225

Support               
 

S1-1.3050
 

S2-1.3000
 

S3- 1.2955