USDCAD recovered sharply from multi month low and jumped more than 100 pips.The main jump was due to decline in oil price more than 7% from recent high of $54.80 on US-China trade war. Yesterday oil prices lost more than 4% after US EIA crude inventory data.It came at 2.2M compared to forecast of -1.0M.
The major support is around 1.3265 (200- day MA) and any violation below will drag the pair to next level till 1.3200.Any major bearishness only below 1.3200.
The near term resistance is 1.3348 (100- day MA) and any convincing break above targets 1.3395 (55 day EMA)/1.3435.
It is good to sell on rallies around 1.3350 with SL around 1.3400 for the TP of 1.3205.
