FxWirePro: USDCAD Short term outlook (jump till 1.3660 likely)

USDCAD hits year low of 1.30685 on Feb 1st 2019 and shown a sharp recovery of more than 450 pips. The jump was due to weak Canadian economic data and broad based US dollar buying. Crude oil has jumped more than 50% this year which was slightly supportive for Canadian dollar. The high made previous year was 1.36648 and lost more than 550 pips due to surge in oil price. Yesterday pair hits low of 1.33770 and is currently trading around 1.34398.

On the lower side, near term support is around 1.3378 (20- day MA) and any break below confirms further weakness, decline till 1.3345/1.3300 is possible. It should break below 1.32744 for further bearish continuation.

The near term resistance is around 1.34675 high made on Mar 7th 2019 and any violation above targets 1.35214 high made on Apr 24th 2019. Any major bullishness can be seen only above 1.35215 and break above targets 1.358/1.3660.

It is good to buy on dips around 1.3375-80 with SL around 1.32750 for the TP of 1.3360