February 28th 2020.

Today’s income and spending data out of the US is expected to move the US Dollar. Economists expect a solid increase in both. The Chicago PMI will also be eagerly awaited with economists calling for another sub-50 reading, indicating a contraction in the sector. The USDCAD is pressuring its horizontal resistance area to the upside, how will price action react following the release of today’s data? Subscribe to the PaxForex Daily Fundamental Analysis and grow your balance trade-by-trade.

Canada’s GDP report may not have a significant impact unless it delivers a surprise reading to either the upside or downside. Should it meet expectations, the Bank of Canada will receive more economic evidence to remain on the sidelines. The USDCAD will receive its directional guidance from its base currency and not its quote currency. Will bears force a reversal in this currency pair or can bulls power ahead? Today’s fundamental analysis will take a look at the upside potential as well as the downside risk in this currency pair.