Morning Report

The Dollar versus Loonie pair slumped yesterday after reversing from the resistance level at 1.0560, where it hit our suggesting targets before slightly correction to the upside to stop at the 50% correction at 1.0480. We believe the pair is to decline from here on the intraday basis targeting 1.0305 initially and then continue the short term decline towards 1.0000. The 1.0545 level remaining intact is vital for the decline to occur today.

The trading range for today is among the key support at 1.0200 and the key resistance at 1.0670

The general trend is to the downside as far as 1.1870 remains intact with targets at 1.0000

RecommendationBased on the charts and explanations above, our opinion is selling the pair from 1.0480 to 1.0305 and stop loss above 1.0545 might be appropriate.