USD/CAD consolidates in a range above 1.2100 mark, US CPI awaited

A combination of supporting factors failed to assist USD/CAD to build on the overnight bounce.
Investors preferred to wait on the sidelines ahead of the latest US consumer inflation figures.

Haresh Menghani FXStreet

The USD/CAD pair lacked any firm directional bias and remained confined in a narrow band through the first half of the European session. The pair was last seen trading around the 1.2110-15 region, nearly unchanged for the day.

The pair struggled to capitalize on the previous day's goodish rebound from the vicinity of mid-1.2000s, or weekly lows and witnessed a subdued/range-bound price action on Thursday. That said, a combination of factors extended some support and assisted the USD/CAD pair to hold steady above the 1.2100 mark.

The US dollar gained follow-through traction amid some repositioning trade ahead of the US consumer inflation figures, due later during the early North American session. Apart from this, a modest pickup in the US Treasury bond yields further benefitted the greenback and acted as a tailwind for the USD/CAD pair.

On the other hand, a softer tone in the oil market undermined the commodity-linked loonie and was seen as another factor lending support to the USD/CAD pair. WTI crude oil witnessed some profit-taking after Wednesday's EIA report indicated weaker-than-expected fuel demand at the start of the summer driving season in the US.

Investors, however, seemed reluctant to place any aggressive bets, rather preferred to wait on the sidelines ahead of the US consumer inflation figures. The CPI report will be an important macro data that would set the tone for the June FOMC meeting and influence the USD. This, in turn, might provide a fresh directional impetus to the USD/CAD pair.

Technical levels to watch

USD/CAD

Overview
Today last price	1.2112
Today Daily Change	0.0001
Today Daily Change %	0.01
Today daily open	1.2111

Trends
Daily SMA20	1.2086
Daily SMA50	1.2282
Daily SMA100	1.2464
Daily SMA200	1.2744

Levels
Previous Daily High	1.2118
Previous Daily Low	1.2058
Previous Weekly High	1.2133
Previous Weekly Low	1.2007
Previous Monthly High	1.2352
Previous Monthly Low	1.2013
Daily Fibonacci 38.2%	1.2095
Daily Fibonacci 61.8%	1.2081
Daily Pivot Point S1	1.2074
Daily Pivot Point S2	1.2037
Daily Pivot Point S3	1.2015
Daily Pivot Point R1	1.2133
Daily Pivot Point R2	1.2155
Daily Pivot Point R3	1.2192

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

EUR/USD regains 1.1800 and beyond on USD U-turn

The sudden bout of selling pressure on the US Dollar allows EUR/USD to leave behind the initial weakness and advance to two-day highs just above 1.1800 the figure on Friday. The pair’s jump comes as investors continue to assess the US Supreme Court ruling on Trump’s global tariffs.

GBP/USD pops above 1.3500 on weaker Dollar

GBP/USD picks up extra upside traction and reclaims the area above the 1.3500 hurdle at the end of the week. That said, Cable sets aside four daily pullbacks in a row, regaining some composure in response to the sudden bout of downside pressure hurting the Greenback.

Gold stays bid, still below $5,100/oz

Gold is extending its run higher for a third straight session on Friday, navigating the area just past the key $5,000 mark per troy ounce. The move reflects ongoing geopolitical tensions in the Middle East, renewed losses in the Greenback and rising US Treasury yields.