The US dollar continues to face downward pressure as global sentiment turns against US trade policies. Several major countries have started to retaliate by boycotting US goods and proposing another round of aggressive tariffs. Meanwhile, the Canadian dollar may strengthen after the Canadian Prime Minister vowed to fight back rather than remain passive. With uncertainties looming, the short-term outlook for USD/CAD remains bearish.
Technical Breakout: USD/CAD is trading lower after breaking below the previous support level of 1.4155. MACD indicates increasing bearish momentum, and RSI is at 33, suggesting that USD/CAD may continue to extend its losses. If the bearish trend persists, the pair may fall towards the next support level at 1.3845. However, if the selling pressure fades, a rebound toward the 1.4155 resistance level could be expected.
Potential Risks: Ongoing trade war developments could continue to spark volatility in USD/CAD, with unpredictable responses from the US potentially reversing the trend.
Monitoring: Stay updated on US economic data especially the NFP that is released later that could alter the price action for the dollar.
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The US dollar continues to face downward pressure as global sentiment turns against US trade policies. Several major countries have started to retaliate by boycotting US goods and proposing another round of aggressive tariffs. Meanwhile, the Canadian dollar may strengthen after the Canadian Prime Minister vowed to fight back rather than remain passive. With uncertainties looming, the short-term outlook for USD/CAD remains bearish.
Technical Breakout: USD/CAD is trading lower after breaking below the previous support level of 1.4155. MACD indicates increasing bearish momentum, and RSI is at 33, suggesting that USD/CAD may continue to extend its losses. If the bearish trend persists, the pair may fall towards the next support level at 1.3845. However, if the selling pressure fades, a rebound toward the 1.4155 resistance level could be expected.
Potential Risks: Ongoing trade war developments could continue to spark volatility in USD/CAD, with unpredictable responses from the US potentially reversing the trend.
Monitoring: Stay updated on US economic data especially the NFP that is released later that could alter the price action for the dollar.
Open Your Free Demo Account And Start Trading Risk-Free
Join Now
Trade forex, indices, metal, and more at industry-low spreads and lightning-fast execution.
Sign up for a PU Prime Live Account with our hassle-free process.
Effortlessly fund your account with a wide range of channels and accepted currencies.
Access hundreds of instruments under market-leading trading conditions.
Sign up for a PU Prime Live Account with our hassle-free process.
Effortlessly fund your account with a wide range of channels and accepted currencies.
Access hundreds of instruments under market-leading trading conditions.