FxWirePro: USDCAD breaks minor trend line support, dip till 1.3180 likely

USDCAD is trading lower for 4th consecutive days and lost more than 120 pips from the high on better than Canadian economic data and a slight jump in oil price. The slight ease in a trade war is also supporting the Canadian dollar as economic slowdown will affect major commodities like oil. The pair hits low of 1.32254 and is currently trading around 1.32287.

Crude oil prices were trading weak for the past 4 trading days and shown a minor recovery after the slight easing of US-China trade tension. It hits high of $54.44 and is currently trading around $54.20.

On the flip side near term, support is around 1.3230 and any violation below will drag the pair to the next level till 1.3180. Any major weakness only below 1.3180 and break below targets 1.3140/1.3090.

The pair is facing first resistance at 1.3350 and any break above will take the pair to next level till 1.3435/1.350. The minor resistance is around 1.3265/1.3300.

It is good to sell on rallies around 1.32655-68 with SL around 1.3300 for the TP of 1.3180.