FxWirePro: USD/CAD trades lower on rising housing starts and higher Oil prices, good to buy on dips
Loonie formed a minor top around 1.35349 on Apr 9th 2017 and declined sharply from that level. It is currently trading around 1.33193. Canadian dollar is trading slightly higher against all major pairs on account of risi…
Loonie formed a minor top around 1.35349 on Apr 9th 2017 and declined sharply from that level. It is currently trading around 1.33193.
Canadian dollar is trading slightly higher against all major pairs on account of rising housing starts and higher oil prices.
Canadian housing starts surged to the fastest pace in a decade and it has soared 18% to an annualized 253720 units in Mar from 21253 units in Feb.
WTI crude has been continuously increasing for the past two weeks from the low of $47. The commodity broken major resistance of $50 and jumped till $53.21.
On the lower side 1.3260 will be acting as near term support , and any break below will drag the pair till 1.3210 (200 –day MA) /1.3180 (61.8% retracement of 1.29684 and 1.3538).
The near term resistance is around 1.3380 and any break above targets 1.34332 (61.8% retracement of 1.3538 and 1.32635)/1.34800/1.3535 (Mar 9th 2017 high).
It is good to buy on dips around 1.3260 with SL around 1.3200 for the TP of 1.3380/1.3500.
