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FxWirePro: USD/CAD takes support near trend line, good to buy on dips

  • USD/CAD has regained slightly yesterday after one week of decline. The pair hits high of 1.31250 and started to decline from the high. Canadian dollar has shown a good jump mainly due to rise in crude oil prices, an easing of NAFTA deals and slight jump in Canadian inflation data. The pair hits low of 1.28150 and shown a minor recovery till 1.29085 of nearly 100 pips from that level. It is currently trading around 1.28770.
     
  • The pair has declined for intraday till 1.28632 and shown minor jump till 1.28811. Oil price has formed a temporary top around $66.52 and shown a more than 3% decline due to profit booking as oil rose more than 7% this month and is currently trading around $64.81.
     
  • Technically near term resistance is around 1.29221 (Mar 26th 2018 high) and any break above targets 1.2965/1.3000. Overall bullish continuation only above 1.3125.
     
  • On the lower side, near term support is around 1.2800 and any break below will drag the pair down till 1.2760/1.2700.

It is good to buy on dips around 1.2865 with SL around 1.2815 for the TP of 1.2962/1.3000.               

 

 

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