FxWirePro: USD/CAD daily outlook

• CAD outperformed USD and enjoyed more than 7% rally in 2017.  USD/CAD declined sharply after forming temporary top around 1.29202 on Dec 19th 2017. The main reason for the rally in Canadian dollar is due to good jump in oil price. The pair hits low of 1.25000 and is currently trading around 1.25239.
   
• Crude oil price hits 2-1/2 year high on account of protest in Iran. The protest in Iran started in eastern Iranian city of Mashhad and has spread to 5o cities including Tehran. US oil prices jumped till $62.18 and is currently trading around $61.77.
   
• Technically, major short term support is around 1.2500 and any break below will drag the pair till 1.24300 (Oct 2017 low).  Short term weakness only below 1.2430. Overall bullish invalidation only below 1.2060.
   
• On the higher side, near term major resistance is around 1.2608 (7- day MA) and any break above will take the pair to next level till 1.2670 (10- day MA)/1.2746 (20- day MA)/1.2805. Short term bearish invalidation only above 1.2925.

It is good to sell on rallies around 1.2550-55 with SL around 1.2600 for the TP of 1.2430/1.2300.