The Canadian Dollar soared against its US counterpart, the Loonie emerging as best performer in FX, up 1.63%. USD/CAD plunged from 1.4490 to 1.4178 before climbing to settle at 1.4207 in late New York. Brent Crude Oil prices recovered on news the U.S and Saudi Arabia agreed to work together to stabilise prices. Canada’s House of Commons agreed and voted to pass a CAD 27 billion aid package to ease the economic impact of the coronavirus outbreak. US lawmakers would benefit from the example of their northern counterparts.
USD/CAD traded to its lowest level in a week to 1.4178. Immediate support can be found at 1.4170 followed by 1.4120 and 1.4070. Immediate resistance lies at 1.4280, 1.4330 and 1.4380. While Canada is a major exporter of commodities, oil prices remain a factor. The other side of the Canadian Dollar is the US Dollar, and upcoming US data will also impact the Loonie.
Look for a likely range today, first up between 1.4150-1.4380. Just trade the range shag on this one, there is plenty of room to trade and profit from it.