The USD/CAD price edges higher, and it seems determined to approach and reach fresh new highs. The Dollar Index maintains a bullish bias. Further growth could force the greenback to resume its appreciation.
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The currency pair is bullish, so the further rise is favored if the up trendline is unharmed. The price is located in the buyer’s territory, but we still need confirmation before considering going long.
Later, the US and Canadian data will influence the USD/CAD pair. Actually, the fundamentals will drive the price. The United States NFP could be reported at 553K in November versus 531K in October. The Unemployment Rate is expected to drop to 4.5% from 4.6%, while the Average Hourly Earnings may register a 0.4% growth again. Unfortunately for the USD, the ISM Services PMI could drop from 66.7 to 64.9 points.
On the other hand, the Loonie needs strong support to appreciate versus a strongly bullish USD. The Canadian Unemployment Rate could drop from 6.7% to 6.6%, while the Employment Change could grow to 36.5K in November.
USD/CAD Price Technical Analysis: Uptrend Stays Strong
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The USD/CAD pair continues to challenge the 1.2836 static resistance after stabilizing above the ascending pitchfork’s median line (ML). As long as it stays above the uptrend line, the pair could extend its upward movement. However, its failure to make a new lower low, close below the 1.2720, signaled that the buyers were very strong. Also, its failure to stabilize below the median line (ML) announced potential upside continuation.
Technically, a valid breakout through the 1.2836 could activate an upside continuation. The upside pressure is high. A new higher high could attract more buyers, pushing the pair at least towards the 1.2896 higher high. The upside scenario could be invalidated if the USD/CAD pair drops and stabilizes below the median (ML) and under the uptrend line.
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