USDCAD Strategy - Market Concerns Over Crude Oil Demand Outlook, CAD Weakens

Fundamental Analysis:

Weighed down by weak crude oil performance and a strong USD driven by policy expectations, USD/CAD continues to exhibit a robust trend. Last week's U.S. inflation data indicated rising inflationary pressure risks, while the Federal Reserve's cautious approach to rate cuts confirmed this outlook. This undermines the crude oil demand previously supported by rate cut expectations. Additionally, China's economy might suffer a stronger impact from the Trump administration's new round of tariffs, further damaging the demand side of the crude oil market.

Technical Analysis:
On the 15-minute USD/CAD chart, the price is in an upward range. There is potential for the price to retrace to a demand area and regain momentum. Therefore, long positions can be initiated in the price demand zone, with stop-loss set below the bottom of the range, and the target set from the range's top to the current high.

Trading Strategy:
Buy at 1.40517 or better, with a stop-loss below 1.40324 and a target of 1.40710.

Support: 1.40324 Resistance: 1.41054

Disclaimer: The above is for reference only and does not represent the platform's stance. Stick to your own analysis and implement proper risk control.