Chapter 48 Is USDCAD going down based on CPI?
11/01/2023
Summary
USA Inflation rate expectation leads the market
Fundamental analysis
Tomorrow Thursday we have the inflation rate CPI With lower expectations than the previous month and that consider harmful for the US dollar because it could lead the Federal Bank to lower the interest rate to 0.25, On the other hand, We don't have that high impact news coming this week in the Canadian dollar.
U.S. CPI YoY
Previous 7.1%
Expected 6.6%
Technical analysis
We see in the four-hour diagram chart, The pair is trending down after the NFP day and the market pull up to touch the 20 moving average, We see weakness in the price and the moving average is pointing down we expect the price keeps moving down to the Previous demand zone at 1.32200.
Trading Recommendation
Trading Direction: Short
Entry Price: 1.33759
Target Price: 1.32470
Stop Loss: 1.34686 
