Loonie is trading weak for 4th consecutive day and lost more than 200 pips on dovish Fed stance. Fed kept its interest rates unchanged and pledges ‘patience’ stance on further hike. US jobs data came slightly upbeat and it has added 304000 jobs in month of Jan compared to forecast of 190k but unemployment rate jumped to 4%. The pair hits low of 1.30684 and is currently trading around 1.30896.
Crude oil is trading higher and hits 10 week high on account OPEC supply cuts and sanctions on Venezuela.It has broken major resistance around $63.21 and jumped till $63.61.
On the higher side near term resistance is around 1.3120 (200- day MA) and any break above targets 1.3170/1.3197 (100- day MA)/1.3255/1.3300.
The near term support is around 1.3070 (300- day EMA) and any violation below targets 1.3025/1.3000.
It is good to sell on rallies around 1.3120-25 with SL around 1.3170 for the TP of 1.3070/1.3000.
