USD/CAD could halt losing streak amid a stronger Greenback, clings to 1.3540

USD/CAD holds its position after recovering daily losses on Friday.
US Dollar strengthens on hawkish sentiment surrounding the Fed maintaining higher policy rates.
Canadian Dollar received upward support from the higher WTI price.

Akhtar Faruqui FXStreet

USD/CAD hovers around 1.3540 during the Asian hours on Friday, showing signs of potentially ending its four-day losing streak. However, trading volumes are expected to be light due to Good Friday. The US Dollar's (USD) strength may be attributed to the hawkish sentiment surrounding the Federal Reserve's intention to maintain higher interest rates.

This shift in sentiment could be linked to recent robust economic data from the United States (US). Additionally, Federal Reserve Governor Christopher Waller's cautionary remarks, indicating no urgency to begin rate cuts, have tempered market expectations of three rate cuts in 2024.

US Gross Domestic Product (GDP) Annualized expanded by 3.4% in Q4, surpassing market expectations of remaining unchanged at a 3.2% increase. US Core Personal Consumption Expenditures (QoQ) for the same period came in at 2.0%, slightly below the expected and previous reading of 2.1%.

The Canadian Dollar (CAD) received a boost due to increased prospects of foreign currency inflows, fueled by the uptick in West Texas Intermediate (WTI) oil prices. The rise in Crude oil prices is linked to expectations that the Organization of the Petroleum Exporting Countries and its allies (OPEC+) will continue their production cuts.

Canada's Gross Domestic Product (MoM) expanded by 0.6% in January, surpassing the projected 0.4% increase. This indicates economic resilience and suggests a strengthening economic landscape. These figures have instilled confidence in Canada's economic outlook, dampening market expectations of immediate rate cuts by the Bank of Canada (BoC).

USD/CAD

Overview
Today last price	1.354
Today Daily Change	0.0000
Today Daily Change %	0.00
Today daily open	1.354

Trends
Daily SMA20	1.3536
Daily SMA50	1.3505
Daily SMA100	1.3497
Daily SMA200	1.3495

Levels
Previous Daily High	1.3614
Previous Daily Low	1.3525
Previous Weekly High	1.3614
Previous Weekly Low	1.3456
Previous Monthly High	1.3606
Previous Monthly Low	1.3366
Daily Fibonacci 38.2%	1.3559
Daily Fibonacci 61.8%	1.358
Daily Pivot Point S1	1.3506
Daily Pivot Point S2	1.3471
Daily Pivot Point S3	1.3417
Daily Pivot Point R1	1.3594
Daily Pivot Point R2	1.3649
Daily Pivot Point R3	1.3683

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

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