FxWirePro: USD/CAD Daily Outlook

• USD/CAD has declined sharply after hitting high of 1.23919. The pair broken previous low of 1.2280 and dipped till jumped till 1.23099 at the time of writing and is currently trading around 1.23234.
   
• NAFTA talks are going on positive after sixth round of talks happened in Monreal but progress is still slow said by US trade Representative Robert Lighthizer.
   
• US crude has shown a minor decline till $63.65 yesterday. The main reason for decline is due to increase in number of rigs by 12 in the week of Jan 26th 2018 to 759, biggest weekly increase since Mar 2017. The rig count in the Permian region was highest since Nov 2013.  The API said in report that crude inventories rose by 900000 barrels last week.
• Technically, major short term support is around 1.2282 and any break below will drag the pair till 1.2200.
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• On the higher side, near term major resistance is around 1.2360 and any break above will take the pair to next level till 1.2400/1.2435. Minor bullishness only above 1.2600.

It is good to sell on rallies around 1.2325-30 with SL around 1.2375 for the TP of 1.2200