Daily U.S. Session Watchlist: USD/CAD


  This pair has been cruising higher inside a rising channel with its higher lows and higher highs on the 1-hour chart.

  The channel top seems to be holding as resistance, likely pushing

  USD/CAD back to nearby support areas to gather more bullish energy.

  Are buyers ready to hop in soon?

  Using the Fib tool

  shows that the 61.8% level lines up with the channel bottom to add to

  its strength as a floor while the 50% level coincides with a former

  resistance zone.


  is suggesting that the correction could keep going for now, as the

  oscillator has a bit of room to move south before reaching the oversold


  The moving averages

  are hinting at a continuation of the uptrend, as the 100 SMA just

  crossed above the 200 SMA. If any of the Fibs are able to keep losses in

  check, USD/CAD could recover to the swing high and beyond!

  Of course this might boil down to the upcoming catalysts, which

  include CPI readings from Canada and the highly-anticipated FOMC meeting


  Cautious remarks from the U.S. central bank are already expected, so

  any hawkish hints might be enough to send the dollar rallying. Also keep

  in mind that risk-off flows stemming from geopolitical risks would

  likely favor the safe-haven dollar.

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