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FxWirePro: Buy USD/CAD above 1.2930

USDCAD has shown a good recovery of more than 100 pips from low of 1.27800. The pair was trading weak for more than 10 days as new NAFATA deal and rising crude oil supported Canadian dollar.

 

The pair recovered slightly on account of broad based US dollar buying for past two days. The US 10 year yield hits multiyear high at 3.23%.

 

On the higher side, near term major resistance is around 1.2890 (support turned into resistance) and any break above will take the pair to next level till 1.2930/1.2960/1.3000. It should break convincingly above 1.3000 for further jump.

 

The near term support is around 1.2860 and any violation below targets 1.2800/1.2780. Any break below 1.27800 confirms bullish continuation.

 

It is good to buy above 1.2890 with SL around 1.2855 for the TP of 1.3000.

 

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