FxWirePro: USD/CAD recovers on weak crude oil, good to buy on dips

• USD/CAD has once again recovered after declining till 1.26800 on account of better than expected US economic data. The decline in crude oil and weak Canadian economic data preventing further upside of Loonie. The pair jumped till 1.27701 and is currently trading around 1.27549.
   
• US new home sales jumped unexpectedly increased 6.2% to a seasonally adjusted annual rate of 685K compared to forecast of 625k, highest level in 10 years.
   
• Crude oil prices has major decline after hitting 2-1/2 high at $59.02 on Friday. Oil prices declined on uncertainty over OPEC production extension and restart of Keystone pipeline. The commodity declined almost more than $1 till $57.50. It is currently trading around $57.72.
   
• The pair has formed a minor bottom at 1.26675 and shown a minor jump till 1.28368. The near term major support is around 1.2660 and any minor weakness can be seen below that level. Any break below will drag the pair to next level till 1.2600/1.2500. It should break below 1.24300 for overall bearishness.
   
• On the higher side, near term resistance is around 1.2780 and any violation above will take the pair to next level till 1.28365. Short term bullishness can be seen only above 1.2835. Any convincing break above will take the pair to next level till 1.2900/1.29280.

It is good to buy on dips around 1.2705-1.2710 with SL around 1.2660 for the TP of 1.2835/1.2900.