• USD/CAD slipped lower on Tuesday as greenback weakened after Middle East tensions eased following a ceasefire agreement between Israel and Iran.
•. U.S. President Donald Trump announced on Monday that Israel and Iran had agreed to a ceasefire, bringing an end to their 12-day conflict.
•. Markets reacted calmly to the ceasefire announcement between Israel and Iran, taking the de-escalation of geopolitical tensions largely in stride.
• Oil prices dropped around 5% to a two-week low on Tuesday, as the Israel-Iran ceasefire eased concerns over potential supply disruptions in the Middle East.
• On the data front, Canada’s annual inflation rate remained unchanged at 1.7% in May, as lower energy prices partly due to the removal of the consumer carbon levy—and slower rent increases helped keep inflation steady, Statistics Canada reported on Tuesday.
• Immediate resistance is located at 1.3750(38.2%fib), any close above will push the pair towards 1.3849(Higher BB).
• Support is seen at 1.3577(23.6%fib) and break below could take the pair towards 1.3537 (Lower BB).
Recommendation: Good to sell around 1.3720, with stop loss of 1.3820 and target price of 1.3650
