USD/CAD : Sell below 1.2660 : FxWirePro | December 5, 2017

Major support – 1.2660

USD/CAD -0.08% has shown a major decline after better than expected Canadian jobs data. The pair dipped till 1.26563 and is currently trading around 1.26548.

The Canadian economy has added 79500 jobs in the month Of Nov compared to forecast of 10000 and unemployment rate fell to 5.9% from a 6.3% level in Oct. Wage growth also gone up 2.8% yoy fastest pace in 19 months. Market awaits BOC 0.70% monetary policy statement on Wednesday for further direction. The investor’s weigh the impact of robust job’s data on BOC 0.70% interest rate decision.

The pair has broken major support at 1.2660 (50- day MA) and any major weakness can be seen below that level. Any violation will drag the pair till 1.2600/1.2500.

The major resistance is around 1.29167 top formed at Oct 27th low and any further bullishness can be seen only above that level. The minor resistance is around 1.2753 (20- day MA) and any break above will take the pair to next level till 1.2800/1.2825 (61.8% fibo).

It is good to sell on rallies at 1.2660-625 with SL around 1.2720 for the TP of 1.2580/1.2500.