Our USDCAD forecast notes that the pair has extended its upwards movement even if the US Dollar Index (DXY) has dropped today. The pair has increased to as much as 1.2590, where it has found resistance. Now it’s trading in the red at 1.2547 as DXY’s sell-off weakened the greenback. The US dollar was punished by the Unemployment Claims earlier today. Surprisingly or not, the indicator was reported higher at 373K, even if the specialists expected to see a drop from 371K to 345K. Get FREE Forex Signals Now! USD/CAD is dropping at the time of writing and forex traders will be aware that it could come back to retest the broken levels. Tomorrow, the Canadian Employment Claims and Unemployment Rate could bring high volatility to the pair. The Loonie could take full control again if the economic data comes in as expected. The Employment Change is expected around 172.5K in June versus -68.0K in May, while the Unemployment Rate could drop from 8.2% to 7.8% which will be good for CAD. (Check out our guide on Forex Robots) USDCAD forecast – technical analysis: consolidation before rally resumes Our USDCAD forecast sees the possibility of a retest of the 78.6% (1.2516) retracement level and the R1 soon. A temporary retreat is natural after the last amazing rally. The pair could consolidate above the broken obstacles before resuming its growth. Poor Canadian economic data could boost the pair. The next major upside target is seen at the 100% level, at 1.2653 level. It’s traded far above the uptrend line, so the bias is still bullish and this drop could be only a temporary one. We cannot exclude a potential decline towards 1.25 psychological level after its failure to reach 1.26 and after the price closed around the current levels, printing a bearish engulfing. Looking to trade forex now? Invest at eToro! Trade Forex Now! 67% 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. Olimpiu Tuns Olimpiu Tuns Olimpiu Tuns graduated with a Master in Business Administration and is a seasoned Market Analyst / Trader / Trainer with 10 years of experience in the financial markets having expertise in Forex, Commodities, Index, Cryptocurrencies, and Stocks. He worked as a Market Analyst for three major brokerage companies, as a prop trader, and as a contributor/content creator for news portals and educational platforms. View All Post By Olimpiu Tuns Daily Look share Read Next EUR/USD ranging under 1.1850, awaits ECB Saqib Iqbal 5 months Our USDCAD forecast notes that the pair has extended its upwards movement even if the US Dollar Index (DXY) has dropped today. The pair has increased to as much as 1.2590, where it has found resistance. Now it's trading in the red at 1.2547 as DXY's sell-off weakened the greenback. The US dollar was punished by the Unemployment Claims earlier today. Surprisingly or not, the indicator was reported higher at 373K, even if the specialists expected to see a drop from 371K to 345K. [su_button url="https://www.forexcrunch.com/visit/learn2trade" style="3d" background="#1d44bb" size="8" center="yes" radius="0"]Get FREE Forex Signals Now![/su_button] USD/CAD is dropping at… Top 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.