USDCAD LONGS USD/CADOANDA:USDCADAllFatherOdinUSDCAD is currently hovering around 1.3725 and the case for longs this week is built on a solid macro foundation. The interest rate differential between the US and Canada sits at approximately 1.75% in favour of the USD, making the greenback more attractive for carry traders — a factor that outweighs even oil support for the CAD. The Bank of Canada held rates at 2.0% on March 18th, effectively ending its aggressive easing cycle, while the Fed held at 3.75% — keeping that differential wide and intact. RoboForex Canada's Q4 GDP contracted 0.6% year-on-year, the weakest print since 2020, leaving the BoC in a bind between rising inflation and slowing growth. TRADING ECONOMICS This stagflationary backdrop limits CAD upside. A breakout above the 1.3770 resistance level would strengthen bullish pressure and open the path toward 1.3925. This week's projected range sits between 1.3646 and 1.3830, with an average of 1.3738. Key risk: Oil above $100/barrel provides CAD support, so watch energy headlines closely as the primary threat to this long thesis.