• USD/CAD posts small gains during the American session.
  • US Dollar Index stays below 90.00 as focus shifts to FOMC Minutes.
  • Falling crude oil prices weigh on CAD on Wednesday.

The USD/CAD pair staged a modest rebound during the American trading hours and advanced to a session high of 1.2123 before going into a consolidation phase. As of writing, the pair was up 0.15% on the day at 1.2081.

Eyes on FOMC Minutes

Earlier in the day, the data from Canada showed that the Consumer Price Index (CPI) rose to 3.4% on a yearly basis in April from 2.2% in March. This reading came in higher than the market expectation of 3.2% and helped the CAD gather strength. Nevertheless, the sharp decline witnessed in crude oil prices made it difficult for the commodity-sensitive loonie to continue to find demand.

After losing nearly 2% on Tuesday, the barrel of West Texas Intermediate (WTI) extended its slide and touched its lowest level in three weeks at $61.94. As of writing, WTI was trading at $63.60, where it was down 2.% on a daily basis.

Meanwhile, the US Dollar Index clings to modest daily gains at 89.90 supported by safe-haven flows. Although Wall Street's main indexes managed to pull away from daily lows, they still lose between 0.3% and 0.7%.

Later in the session, the FOMC will release the minutes of its April meeting and investors will look for fresh clues regarding inflation expectations and the timing of asset tapering.

Technical levels to watch for

USD/CAD

Overview
Today last price 1.2084
Today Daily Change 0.0018
Today Daily Change % 0.15
Today daily open 1.2066
 
Trends
Daily SMA20 1.2252
Daily SMA50 1.2427
Daily SMA100 1.2565
Daily SMA200 1.2831
 
Levels
Previous Daily High 1.2081
Previous Daily Low 1.2013
Previous Weekly High 1.2203
Previous Weekly Low 1.2046
Previous Monthly High 1.2654
Previous Monthly Low 1.2266
Daily Fibonacci 38.2% 1.2039
Daily Fibonacci 61.8% 1.2055
Daily Pivot Point S1 1.2025
Daily Pivot Point S2 1.1985
Daily Pivot Point S3 1.1957
Daily Pivot Point R1 1.2094
Daily Pivot Point R2 1.2122
Daily Pivot Point R3 1.2162

 

 

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