WTI Crude pushing $31. Up 2% on the day
The USDCAD is pushing to new session lows for the day and below the lows from yesterday as well. The 1.4049-64 is the next target on the downside. This corresponds with the swing lows from January 6 to January 11. Below that the December 2015 high came in at the 1.4000 level.
Looking at the daily chart below, the 38.2% retracement of the trend move up from the October low comes in at 1.39795. If oil continues to rebound on prospects for weaker supply this would be a key target on the downside from a technical perspective. the 50% correction of the same move comes in at 1.37603.
The USDCAD has been an oil trade. And will likely continue in the future.
