FXStreet (Edinburgh) – The Canadian dollar has sharply reverted its initial negative tone, now sending USD/CAD to fresh daily lows in the mid-1.3500s.
USD/CAD lower on oil recovery
The Canadian dollar is now deriving further support from the recovery of crude oil prices, as both the West Texas Intermediate and the Brent are up more than 1% and leaving behind part of yesterday’s deep pullback.
Crude oil prices remain the almost exclusive driver behind the pair as of late, with the EIA’s weekly report on crude oil inventories being the only release of note today in an otherwise uneventful docket.
USD/CAD levels to consider
As of writing, the pair is losing 0.16% at 1.3565 and a drop below 1.3221 (55-day sma) would expose 1.3195 (100-day sma) and then 1.3157 (7-month uptrend). On the flip side, the immediate hurdle aligns at 1.3621 (2015 high Dec.3) followed by 1.3700 (psychological level).
(Market News Provided by FXstreet)