USDCAD Breakout and potential retrace with USD strong bias

4 feb

In tomorrow's trading session, we are closely observing USDCAD for a potential buying opportunity around the 1.34400 zone. USDCAD has been navigating within an uptrend and is currently in a corrective phase, nearing the retrace area at the 1.34400 support and resistance zone. Alongside technical analysis, it's essential to consider fundamental factors influencing the market sentiment. The recent warning from the Federal Reserve about potential rate adjustments adds a layer of complexity to the currency pair's dynamics. Traders should remain vigilant of any shifts in market sentiment driven by central bank communications, as they can significantly impact currency pairs like USDCAD. As always, trade safely and stay informed.