USDCAD has once again recovered sharply more than 100 pips on broad-based US dollar buying. The Canadian dollar was one of the best performers this week due to a sudden surge in oil prices. The Middle East tension got slightly escalated after Trump tweeted that "instructed the US Navy to shoot down and destroy any Iranian gunboats harassing US ships". WTI crude oil declined more than 15% after jumping more than 35%. It hits a high of $18.52 and is currently trading around $16.43.
Technically, near term resistance is around 1.41150 and any violation below will drag the pair down till 1.4160/1.4200.
The immediate support is at 1.4000 and any indicative break above targets 1.3920/1.3850.
It is good to sell on rallies around 1.4098-410 with SL around 1.4160 for the TP of 1.3925.
