Source: PaxForex Premium Analytics Portal, Technical Insight

The employment rate in Canada grew stronger than expected in June:

1. The employment rate is +952900 vs. +700 thousand expected, pre.  +289600;

2. Unemployment rate 12.3% vs. 12.1% projected, pre. 13.7%;

3.  Full-time employment +488100 vs. pre.  13.7% 3. +219400;

4. Partial employment +464800 vs. pre. +70300;

5. Employment 1.8 million below the February level

6. Hourly wage of employees with permanent employment +6.8% vs. +8.9% expected;

7. Labor-force participation rate 63.8% vs. pre. 61.4%.

Since the labor-force participation rate before the pandemic was about 65.5%, it is safe to add another 1.5% to the unemployment rate. However, the overall labor market situation in Canada is moving in the right direction. 

USD/CAD, 30 min

Pivot: 1.3610

Analysis:

Provided that the currency pair is traded above 1.3580, follow the recommendations below:

• Time frame: 30 min
• Recommendation: long position
• Entry point: 1.3610
• Take Profit 1: 1.3650
• Take Profit 2: 1.3680

Alternative scenario: 

In case of breakdown of the level 1.3580, follow the recommendations below:

• Time frame: 30 min
• Recommendation: short position
• Entry point: 1.3580
• Take Profit 1: 1.3555
• Take Profit 2: 1.3535

Comment:

RSI shows the possibility of an ascending momentum during the day.

Key levels:

USD/CAD, D1

Pivot: 1.3568

Analysis:

While the price is below 1.3720, follow the recommendations below:

• Time frame: D1
• Recommendation: short position
• Entry point: 1.3568
• Take Profit 1: 1.3490
• Take Profit 2: 1.3300

Alternative scenario:

If the level 1.3720 is broken-out, follow the recommendations below.

• Time frame: D1
• Recommendation: long position
• Entry point: 1.3720
• Take Profit 1: 1.3870
• Take Profit 2: 1.4015

Comment:

RSI indicates that the downtrend continues in the medium term.

Key levels:

We also advise you to pay attention to the following currency pairs for intra-day trading:

AUD/USD – buy above 0.6920 with 0.6965 and 0.6980 as Take Profit targets. Alternative scenario - if the level of 0.6920 is broken-down, you should consider selling with the targets 0.6910 and 0.6900 as Take Profit.
GBP/USD - short positions below 1.2575 with 1.2530 and 1.2505 targets as Take Profit. Alternative scenario - if the level of 1.2575 is broken-out, buy with the targets 1.2590 and 1.2610 as Take Profit.
EUR/USD - sell below 1.1370 with 1.1320 and 1.1300 targets as Take Profit. Alternative scenario - if the level 1.1370 is broken-out, buy with the TP 1.1390 and 1.1410.