- USD/CAD started the new week on a strong footing.
- Falling crude oil prices continue to weigh on the CAD.
- US Dollar Index stays in the positive territory on Monday.
After closing the previous week modestly lower, the USD/CAD pair staged a rebound on Monday and touched its highest level in a week at 1.3193. As of writing, the pair was up 0.52% on the day at 1.3190.
WTI slumps on dismal demand outlook
Falling crude oil prices makes it difficult for the commodity-related loonie to find demand. The surging number of coronavirus infections globally and recently imposed restriction measures in Europe seem to have revived concerns over an uneven recovery in energy demand. As of writing, the barrel of West Texas Intermediate (WTI) was down 2.2% on a daily basis at $38.85.
On the other hand, the risk-averse market environment is helping the greenback gather strength against its peers as a safe-haven. At the moment, the US Dollar Index (DXY) is gaining 0.3% on the day at 93.02. In the meantime, the S&P 500 futures are down more than 1% on the day, suggesting that the DXY could extend its daily upside if Wall Street suffers heavy losses after the opening bell.
Later in the session, the Federal Reserve Bank of Chicago will release its National Activity Index. September New Home Sales data will be featured in the US economic docket as well.
Technical levels to consider
|Today last price||1.319|
|Today Daily Change||0.0065|
|Today Daily Change %||0.50|
|Today daily open||1.3125|
|Previous Daily High||1.316|
|Previous Daily Low||1.3109|
|Previous Weekly High||1.3204|
|Previous Weekly Low||1.3081|
|Previous Monthly High||1.3421|
|Previous Monthly Low||1.2994|
|Daily Fibonacci 38.2%||1.3129|
|Daily Fibonacci 61.8%||1.3141|
|Daily Pivot Point S1||1.3103|
|Daily Pivot Point S2||1.3081|
|Daily Pivot Point S3||1.3052|
|Daily Pivot Point R1||1.3154|
|Daily Pivot Point R2||1.3183|
|Daily Pivot Point R3||1.3205|
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.