FxWirePro: Loonie downside capped by 50 –day MA, close below targets 1.2410.

• USD/CAD has broken low made in the previous week and declined till 1.3470 at the time of writing on account of increasing crude oil prices. Short term trend is still weak as long as resistance 1.3590 (21 EMA) holds. It is currently trading around 1.3491.
   
• WTI Crude oil hits two week high and jumped till $51.41 on account of expectations of extended possibly deepened output cut. OPEC including Russia to cut 1.8 million barrels per day will be extended till 2018.
   
• USD/CAD formed a temporary top around 1.37935 on May 5th 2017 and started to decline from that level. The pair breaks below major support at 1.3480 (50 day MA) and declined till 1.3470. Any close below 50- day MA confirms that decline till 1.3410. Any break below 1.3410 confirms that jump from 1.2964 comes to an end and dip till 1.3285 (200- day MA) likely.
   
• The near term resistance is around 1.3530 (support turned into resistance) and any break above will take the pair till 1.3590 (21- EMA)/ 1.3680 (61.8% retracement of 1.37935 and 1.35080)/1.3750. Any close above 1.3838 (61.8% fibo) confirms bullish continuation.

It is good to sell on rallies around 1.3530 with SL around 1.3595 for the TP of 1.3410/1.3290.