The U.S. Dollar (USD) rose against the Canadian Dollar (CAD) on Tuesday, increasing the price of the USDCAD pair to more than 1.2500, ahead of the release of U.S. ADP Employment Change news. The technical bias remains bearish because the pair printed a lower low in the recent downside move.
As of this writing, the USDCAD strengthens around 1.2590. The pair might face some resistance near the listed price levels.
1.2674 – the major horizontal resistance
1.2714 – the high of February 19, 2021
1.2800 – the psychological number
On the downside, the pair might find some sustainability near the listed support levels.
1.2555 – the Fibonacci retracement (23.6%)
1.2500 – the psychological level
1.2473 – the low of March 22, 2021
U.S. ADP Employment Change News
The U.S. Automatic Data Processing, Inc is scheduled to release numbers for the ADP employment change on March 31, 2021. Economists expect the employment figures to improve with a reading of 525K in March, as compared to the reading of 117K, in the month before.
The ADP employment change reflects the change in the number of individuals having jobs in hand within the United States. Rising employment figures result in increased purchasing power and improved consumer spending patterns, stimulating economic growth. Generally speaking, a high reading indicates a bullish trend for the USDCAD pair and vice versa.
Considering the price movement of the USDCAD pair over the past few days, selling the pair around 1.2600 might help to make some short-term profits.