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USD/CAD Price Forecast: Holds ground above 1.3650 as US Dollar rises

The USD/CAD pair extends its three-day recovery move to near 1.3700 during the European trading session on Wednesday.

🔗 Source

💡 DMK Insight

The USD/CAD pair’s rise towards 1.3700 signals a potential shift in market sentiment. This three-day recovery could indicate a weakening Canadian dollar, possibly driven by fluctuating oil prices and ongoing economic concerns in Canada. Traders should watch for resistance around 1.3750, which has historically been a pivotal level. If the pair breaks above this, it could trigger further bullish momentum. Conversely, if it fails to hold near 1.3700, we might see a retracement back towards 1.3600. Keep an eye on oil market dynamics, as they directly impact CAD strength. Also, monitor U.S. economic indicators, as stronger data could further bolster the USD against CAD.

📮 Takeaway

Watch for USD/CAD to test resistance at 1.3750; a breakout could signal further gains.

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