USD/CAD: WTI weakness in the spotlight, thin economic calendar ahead
|- Bears dominating at WTI gained control over the USD/CAD pair.
- No major data/events on the economic calendar to follow.
- Immediate trend-line resistance may disappoint pair buyers.
With the crude oil’s latest plunge luring the Loonie bears, USD/CAD is taking the rounds near 1.3475 during the early Asian session on Friday.
Energy price, as indicates by WTI, had their worst day in six-month on Thursday as doubts over global economic growth joined hands with on-going trade spat between the US and China.
Sluggish purchasing manager index (PMI) numbers from top-tier global economies, including the US and the Eurozone, pushed investors to rethink about their macroeconomic expectations and future demand of crude oil, Canada’s main export.
Additionally, the fact that the US-China stalemate is likely to weigh on the dragon nation’s energy consumption also negatively affected the Canadian Dollar (CAD).
In doing so, better than forecast wholesale sales from Canada could do little to restore market confidence in the Loonie.
Looking forward, Canada has no major data scheduled for release today while the US has durable goods orders on the cards to entertain momentum traders.
Technical Analysis
Unless clearing a month old downward sloping trend-line, at 1.3510 now, chances of the quote’s pullback to 1.3430 and 1.3400 can’t be denied.
If prices cross 1.3510 resistance, 1.3570, 1.3600 and 1.3625 could be on the buyers’ radar to target.
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