USDCAD Trade Idea 24 Feb
The dollar rose against the Loonie when the oil price fell back into a bearish market again, due to the fact that OPEC went back on their word on production cut to stabilize the market. On Tuesday, Saudi Arabia announced that it would not cut their output in the absence of trust and commitment from non-OPEC producers.
Canada, one of biggest oil countries in the world, is facing currency woes in wake of oil plunge. USDCAD has escaped the bottom of 1.3636 since February 17, on the way of heading back to the month highs at around 1.4042. The dollar may find support from data of U.S. new home sales due on 3 p.m. GMT today.
Buy at 1.3788 with Stop Loss at 1.3758 and Take Profit at 1.3868.