- Canadian Dollar tumbled sharply yesterday after Bank of Canada rate decision. Loonie has broken major resistance 1.27780 high made since Aug 15th 2017. The pair hits high of 1.28167 and is currently trading around 1.27985.
- Bank of Canada has kept its interest rates unchanged as expected and hinted substantial uncertainty surrounding as result of NAFTA talks. The central bank was slightly dovish in this month compared to previous month on account of declining inflation and also more cautious over future rate hike decision.
- The crude oil prices has declined slightly after hitting high of $52.59 on account increasing inventories. Crude inventories increased by 856K bbls in this week compared to forecast of decline of 2.6 million bbls. It is facing major resistance at $52.83. Any break above $52.83 will take the oil to next level till $53/$53.75.
- On the lower side, near term support is around 1.2770 (resistance turned into support) and any break below will drag the pair to next level till1.2660/1.2640.
It is good to buy on dips around 1.2750 with SL around 1.2680 for the TP of 1.300.
