FxWirePro: USD/CAD breaks trend line support, dip till 1.2600 likely
USD/CAD broken major trend line support at 1.26950 and declined till 1.2660 at the time of writing as US oil prices hits 2-1/2 year high. The pair dipped almost 40 pips from the intraday high and is currently trading aro…
USD/CAD broken major trend line support at 1.26950 and declined till 1.2660 at the time of writing as US oil prices hits 2-1/2 year high. The pair dipped almost 40 pips from the intraday high and is currently trading around 1.26593.
US crude oil prices hits 2-1/2 year high at $60 on reports of pipeline explosions in Libya which is expected to affect 90000 barrels a day production. Oil prices hits high of $ 59.98 and is currently trading around 59.81.
Technically, major short term support is around 1.2660 and any break below will drag the pair till 1.2600/1.24300. Short term weakness only below 1.2430. Overall bullish invalidation only below 1.2060.
On the higher side, near term major resistance is around 1.2755 (50- day MA) and any break above will take the pair to next level till 1.2800/1.2880/1.2925. Short term bearish invalidation only above 1.2925.
It is good to sell on rallies around 1.2695-70 with SL around 1.2755 for the TP of 1.2600/1.2580.
