- Canadian dollar declined sharply biggest ever drop in eight months against dollar after BOC Governor Stephen Poloz dampened expectations for further interest rate hikes this year.
- Loonie hits high of 1.25194 at the time of writing and has shown a minor decline after a sudden spike in crude oil prices in the European session. WTI crude jumped till $52.83 on increasing tension in Iraqi Kurdistan.
- On the higher side, near term resistance is around 1.2525 (55- day EMA) and any break above will take the pair to next level till 1.2600/1.266 (Aug 31st 2017 high).
- The near term support is around 1.2400 (34- day EMA) and any break below will drag the pair down till 1.23600/1.23000.
It is good to sell on rallies around 1.2500 with SL around 1.2535 for the TP of 1.2405/1.2365.
