An improving commodity picture led by........>

CANADA: An improving commodity picture led by firmer oil prices underpinned CAD

overnight. USDCAD touched highs of C$1.3375 yesterday, but failure to close

above the 50-dma extended the downtrend to C$1.3311. Expect support on approach

to the C$1.33 level which holds the 38.2% retracement of 1.3180-1.3375, a break

opens cloud base & 100-dma support at C$1.3224/06. EURCAD is back under the

100-dma & previously broken trendline support to C$1.5070. This brings the Jan

18 low into view at C$1.5043, targeting a move towards the 76.4% fibo of

C$1.4777-1.5646 at C$1.4978. AUDCAD breached triangle support & the 100-dma to

C$0.9448 (See MNI Analysis email - AUDCAD Imminent Breakout - Jan 22 1328GMT).

Near-term support is seen at C$0.9445 from the 50% retracement of

C$0.9105-0.9784, a break opens the Jan 4 low at C$0.9431.