USDCAD Eyes Breakout | New Fed Chair Boosts USD BiasHey Traders,
In the coming week, we are closely monitoring USDCAD for a potential buying opportunity around the 1.36100 zone. While USDCAD has been trading in a broader downtrend, recent US Dollar strength suggests the pair may be attempting a bullish breakout from that structure.
From a fundamental perspective, the recent appointment of a new Fed Chair is expected to provide short-term support to the US Dollar, as markets anticipate a more conventional and fiscally disciplined policy stance. This USD strength could help fuel a trend reversal or continuation higher in USDCAD.
Technically, if price can establish acceptance above the descending trendline, we will be watching for a pullback or retracement toward the broken trendline / 1.36100 area as a potential buy-the-dip setup, targeting further upside continuation.
As always, wait for confirmation and manage risk responsibly.
Trade safe,
Joe.
Long
