FXStreet (Edinburgh) – The greenback keeps losing its shine vs. its Canadian neighbour on Tuesday, with USD/CAD now dropping to session lows near 1.2350.

USD/CAD hinges on USD dynamics

Absent relevant data in the Canadian docket this week, the pair’s price action will hinge on the publications and developments in the US economy, where May’s retail sales (1.1% exp.) are due on Thursday and the flash Reuters/Michigan index on Friday (91.5 exp.).

In the meantime, spot is retreating for the second consecutive session, extending the rejection from recent peaks above 1.2550.

USD/CAD key levels

At the moment the pair is retreating 0.45% at 1.2354 with the next support at 1.2304 (low Jun.9) followed by 1.2300 (psychological level) and finally 1.2299 (21-d MA). On the upside, a break above 1.2442 (high Jun.9) would aim for 1.2466 (Tenkan Sen) and then 1.2473 (high Jun.8).

The greenback keeps losing its shine vs. its Canadian neighbour on Tuesday, with USD/CAD now dropping to session lows near 1.2350…

(Market News Provided by FXstreet)

By FXOpen