USDCAD buyers look to resume as Canada enters state of recession

The technical definition of a recession is two consecutive quarters of a falling GDP or Gross Domestic Product. Canada is now in a technical recession. More can be found at Reuters.

This is actually a very good sign for USDCAD buyers because a bearish Canadian Dollar paired with a bullish U.S. Dollar in anticipation of the rate hike, this pair is a good buy.

USDCAD 4-Hour
USDCAD 4-Hour

Current trade setup is to trade off this trend. Trend strength is relatively strong with multiple retests and holding up. Price is currently attempting to break the previous high. This will be indicative of a correction or trend change if price fails to make a new higher high.

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