LeoPrime Daily Market Analysis

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USDCAD struggling to break below 1.35000 post PMI releases.

USDCAD has broken the 1.35000 barrier in the last hour, but showing some struggle for a strong pull below the region as the economic release for the USDCAD was in a mixed outcome. The Canadian dollar is sensitive to trade risks, and lost ground on Friday after President Trump threatened to slap tariffs on all Mexican products, due to the illegal immigration crisis. Although Trump said that tariffs would be set at just 5%, risk appetite has fallen, sending the Canadian dollar lower. The Canada Manufacturing PMI for the month of may was released as 49.1 vs 49.8 and the US Manufaturing PMI was released as 50.5. The pair breaking the 1 hour trendline below 1.35000 . The ISM Manufaturing PMI was released as worst than expected as 521.vs 53.0 which is trying to pull the pair further downside reaching the next support at 1.34500. On the other side, bulls have possibility to change the market once the pair rebounds at 1.35000.

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