The U.S dollar has fallen sharply against the Canadian dollar, as oil prices move to multi-year highs, after a burst pipe at a major Libyan oil production plant. The price of WTI crude oil has now moved above the psychological $60 per barrel mark, for the first time since mid-2015. The USDCAD pair is now trading around the 1.2670 level, with selling pressure likely to increase if price-can clearly stay below this key level. The USDCAD pair should remain volatile, as the commodity sector remains underpinned by a strong bid tone.
The USDCAD pair is likely to remain under strong selling pressure while trading below the 1.2672 level. Further declines towards the 1.2632 and 1.2579 levels seems likely.
Should the USDCAD pair move above the 1.2672 level, further upside towards the 1.2710 and 1.2740 level remains possible.
