On Tuesday, the USD/CAD pair surged to a multi-week high, poised to gain further. As crude oil prices rose, the dollar gained strength, and the major suffered a blow. These factors should continue to support the US dollar and help contain the decline. Before a critical US CPI report, investors can also refrain from aggressive bets. The USD/CAD outlook seems positive as the WTI prices are stable while the US dollar looks strong amid the hawkish Fed. The USD/CAD price pared most of its intraday gains to a four-week high and was last spotted around 1.2635, the bottom of its daily range. –Are you interested in learning more about CFD brokers? Check our detailed guide- Greenback is poised to gain further The pair surged for a second straight day on Tuesday, which was also the fifth consecutive day of gains in the previous six days. US Dollar strength fueled the momentum, although rising Crude Oil prices supported the commodity-bound Canadian and capped the USD/CAD pair. US dollar reached its highest level since May 2020 as expectations of more aggressive Fed tightening remained high. Comments by Chicago Fed President Charles Evans Monday that it would be worthwhile to discuss accelerated rate hikes to combat inflation bolstered the bets. Firm WTI prices While oil prices have increased modestly, traders have been reluctant to bet aggressively in this direction. Meanwhile, investors are concerned that the war in Ukraine and strict COVID-19 restrictions in China may impact global growth. This should keep the safe-haven dollar undisturbed and support the pair. What’s next to watch? As a result of this and fears that rising commodity prices will put pressure on already high consumer prices, US Treasury yields have reached multi-year highs and boosted the dollar. In the coming session, the market’s attention will be focused on the latest US consumer inflation data, which is expected later in the session. Get FREE Forex Signals Now! USD/CAD daily open interest outlook The USD/CAD price went up on Monday while the daily open interest also rose. It means the bias is bullish. USD/CAD price technical outlook: Bulls above 200 SMA The USD/CAD price has surpassed the 200-period SMA, while the bullish crossover between 20 and 50 SMAs are keeping bulls active. The 50 and 100 SMAs are also going to make a bullish crossover. This will be another sign of the upside continuation. –Are you interested in learning more about MT5 brokers? Check our detailed guide- However, the volume data is not quite supportive of the bulls. As the price is now consolidating gains, we should wait for a clear breakout before taking a position. Looking to trade forex now? Invest at eToro! Trade Forex Now! 68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal Majors share Read Next EUR/USD Price Analysis: EUR Bears Take Over amid US CPI Uncertainty Saqib Iqbal 1 month On Tuesday, the USD/CAD pair surged to a multi-week high, poised to gain further. As crude oil prices rose, the dollar gained strength, and the major suffered a blow. These factors should continue to support the US dollar and help contain the decline. Before a critical US CPI report, investors can also refrain from aggressive bets. The USD/CAD outlook seems positive as the WTI prices are stable while the US dollar looks strong amid the hawkish Fed. The USD/CAD price pared most of its intraday gains to a four-week high and was last spotted around 1.2635, the bottom of its… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.