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[QUOTE="Resolve, post: 227429, member: 29339"]
[B][SIZE=5]USD/CAD Analysis: Rate Reaches Its Minimum in 4 Months[/SIZE][/B]
[img]https://i.imgur.com/FAI3qtg.jpg[/img]

On Friday, the rate dropped below 1.366 for the first time since the beginning of August. This was facilitated by fundamental drivers:

→ The US dollar weakens after the Federal Reserve meeting, which signaled the possibility of lowering interest rates next year. Powell said monetary tightening is likely complete and discussions about cuts are "on the horizon."

→ On the contrary, the Bank of Canada remains more hawkish. In a speech on Friday, its chief Tiff Macklem said it was too early to consider cutting interest rates as inflation remained stubbornly above target.

Also, the weakening of the US dollar could have been influenced by disappointing news about Flash Manufacturing PMI values in the US: actual = 48.2, expectations = 49.5, a month earlier = 49.4.

We wrote about bearish signs on the chart back on December 1st.

[img]https://i.imgur.com/T96W936.jpg[/img]

[B]VIEW FULL ANALYSIS VISIT - FXOpen Blog...[/B]

[I][B]Disclaimer:[/B] This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.[/I]
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