USDCAD: continue to buy back

Fundamental analysis:

Neel Kashkari, chairman of the Minneapolis Federal Reserve, said on Tuesday that he was most worried that the Fed had misjudged the degree and persistence of price pressure and would need to carry out more radical interest rate hikes to control inflation. Kashkari has been the number one hawk among all 19 policy makers of the Federal Reserve. He predicted that the Federal Reserve needs to raise its policy interest rate (now 2.25% - 2.5%) by another two percentage points before the end of next year.

USD / CAD daily chart:

Technical analysis:

According to the daily chart, the short-term exchange rate rises slightly and then goes down again. MACD runs on the 0 axis and the volume energy starts to shrink on the 0 axis. RSI is adjusted downward. It is expected that the short-term exchange rate will go up further after the back test.

Long and short turning point: 1.2850

Resistance level: 1.3030 1.3200

Support position: 1.2650 1.2450

Trading strategy: bullish above 1.2850, with target prices of 1.3030 and 1.3200

Alternative strategy: bearish below 1.2850, with target prices of 1.2650 and 1.2450