USDCAD managed to break above 1.3500 monthly support for the 4th time but failed to break above the last high. Today in the Morning hours, the crude oil prices continued to slump following Trump’s call yesterday. The economic data for China’s PMI came out in the Asian session. The Chinese PMI remained lower than anticipated. These factors resisted crude oil prices from any new corrections.

Additionally today, the USD/CAD pair is not gaining any appreciation further from the market’s bearish outlook. The Bank of Canada’s Rate Decision and Canada’s GDP data anticipates a drop in the currency volatility. This outlook has further missed the GDP/USD from overrated.Reaching the ascending trendline support for the third touch, USDCAD surges around 30 pips as the Canadia GDP for the month of march is released as -0.01% vs 0.0% expected. This worst than expected Canadian release boosted the pair test 1.34500 region above 100EMA but failed to break through. If the pair continues to follow the bearish trend despite of this huge impact, USDCAD might reach the 2 weeks high at 1.34000 region and further low at 1.33500.

Coming for the later sessions in the busy economic day, we still have BoC’s Governor Poloz Speech and Home sales for the U.S which which expects the market to go bullish over the previous numbers. If the data takes a positive side, then the USD/CAD pair may eventually rise above 1.3500.