USD/CAD stays flat near 1.3000 despite falling crude oil prices
|- USD/CAD is trading little changed around 1.3000 on Thursday.
- WTI stages a technical correction after six-day winning streak.
- US Dollar Index clings to small gains above 92.00.
The USD/CAD pair is moving in an extremely tight trading range on Thursday and remains on track to close flat around 1.3000 amid the Thanksgiving Day holiday in the US.
WTI turns south on Thursday
Earlier in the week, the sharp upsurge witnessed in crude oil prices helped the commodity-related loonie to gather strength against its rivals. On Wednesday, the barrel of West Texas Intermediate (WTI) touched its highest level since early March at $46.23 supported by renewed optimism for a convincing rebound in global energy demand.
In the absence of significant fundamental drivers on Thursday, the WTI seems to have started to retrace its six-day rally and was last seen losing 1.3% on the day at $45.25. Nevertheless, the WTI's slide doesn't seem to be having a negative impact on the CAD so far.
On the other hand, the greenback, which struggled to find demand during the first half of the week, is staying relatively resilient against its peers on Thursday. However, the lack of macroeconomic data releases and the thin trading conditions suggest that the US Dollar Index (DXY) is staging a technical correction. At the moment, the DXY is up 0.12% on the day at 92.10.
On Friday, stock and bond markets in the US will reopen but close early and the market action is expected to remain subdued.
Technical levels to watch for
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.