The USD/CAD pair is experiencing a bullish trend, with traders eagerly awaiting the FOMC Minutes for further momentum. The US Dollar's strength is attributed to geopolitical uncertainties and rising interest rate hike bets by the US Federal Reserve. A pullback in Crude Oil prices and softer-than-expected Canadian consumer inflation figures further support the USD/CAD's ascent. From a technical standpoint, the pair has broken above the 50% Fibonacci retracement level, with bulls targeting the 200-day Exponential Moving Average (EMA) resistance. The Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) suggest improving bullish momentum. However, the pair needs to clear the 200-EMA hurdle for a more constructive bias. On the downside, initial support is located at the 50.0% retracement level, with further cushions at the 38.2% and 23.6% retracement levels. A deeper slide toward the 1.3549 anchor cannot be ruled out if the current floor fails. The US Dollar's performance this week is notable, with the strongest gains against the Australian Dollar. The heat map provides insights into the percentage changes of major currencies against each other, offering a comprehensive view of the currency market's dynamics.
