FxWirePro: USD/CAD edges lower from fresh multi-year highs at 1.4605, good to go long on dips around 1.45
Rout in crude prices following the lift-off of Iran sanctions over the weekend dented the resource-linked loonie. Futures for WTI plunged 5.74% to trade at $29.41 per barrel, it's lowest since November 2003, while Brent …
Rout in crude prices following the lift-off of Iran sanctions over the weekend dented the resource-linked loonie.
Futures for WTI plunged 5.74% to trade at $29.41 per barrel, it's lowest since November 2003, while Brent futures lost 4.37% down to $29.53 per barrel, and it's weakest since February 2004.
USD/CAD hit fresh multi-year highs at 1.4605 in early Asian hours and has since pared some losses to currently trade at 1.4520.
Markets focus on BoC meet (due Wednesday), expectations on the mount for the c.bank to cut rates by 25bps following weak oil price.
Immediate support is seen by 5-DMA at 1.4405, while resistance on the upside is at 1.4605 (session highs).
Recommendation: We would use dips around 1.45 as buying opportunities, SL: 1.44, TP: 1.4690 (Jan 1998 highs)
