CAD is benefitting from the uptick....>

DOLLAR-CANADA: CAD is benefitting from the uptick in oil evident in early trade

this week, which is a result of the aforementioned Washington Post sources piece

which has suggested that the U.S. is preparing to announce that all Iranian oil

importers will have to end their imports in the short term or be open to U.S.

sanctions. The sources suggest that the announcement could come as early as

today.

- USD/CAD last trades at C$1.3375, around 15 pips lower on the day. The pair

rests on support, located at C$1.3376/73, representing the 50% retracement of

the move from C$1.4690 to C$1.2062/Apr17 high. A break opens up the nearby

21-DMA at C$1.3361. Initial psychological resistance is noted at C$1.3400.

- Wednesday's BoC MonPol decision provides the highlight of the Canadian docket

this week.