USD/CAD at Resistance

USD/CAD is having a strong start of the month with price going to a high of 1.34, up from 1.3284 in the end of March. The US dollar is stronger now due to positive US data and sustained optimistic outlook for the economy under the Trump administration.

All this means that the rally of the US dollar might be injected with a new dose of enthusiasm, causing all USD pairs to move in favor of the Greenback.

USD/CAD won't be an exception. The pair needs to close above 1.3415 in order for the bulls to have a good outlook with major target somewhere between 1.3585 and 1.3690.

Short term, the pair is expected to consolidate around 1.34 and 1.3250, only after we get a break out of either sides, the pair could be expected to pick a direction.

Chart: USD/CAD H4