FxWirePro: USD/CAD downside capped by 100 day MA, good to buy on dips

USD/CAD has recovered more than 50 pips from the low of 1.29868. US dollar has recovered slightly against all majors after hawkish Fed minutes meeting .Fed was optimistic on US economy and poised for more rate hikes in the coming months. It hits high of 1.30487 at the time of writing. It is currently around 1.30438.

The NAFTA agreement and trade war tensions between US and Canada is putting pressure on Canadian dollar prices.

WTI crude has shown a recovery of more than $2 from the low of $66.63. It hits high of $68.78 on account of Iran sanctions and weaker than expected EIA crude inventory. It is trading slightly above 20-day MA and a jump till $70. It is currently around $68.40.

On the higher side, near term resistance is around 1.3056 (20- day MA) and any break above targets 1.3100/1.3135 (50- day MA)/1.3715.

The near term support is around 1.300 and any break below targets 1.3000/1.2980 (100- day MA).

It is good to buy on dips around 1.3020-22 with SL around 1.2980 for the TP of 1.3010/1.3130