USD/CAD erases majority of daily gains, trades around 1.2330

USD/CAD reversed its direction in the second half of the day.
WTI rose above $76 following the latest OPEC headlines.
US Dollar Index continues to move sideways above 92.00.

Eren Sengezer FXStreet

The USD/CAD pair rose to a daily high of 1.2372 in the early American session but reversed its direction, erasing the majority of its gains. As of writing, the pair was up 0.1% at 1.2330.

WTI climbs above $76 as OPEC+ postpones meeting

With the greenback staying relatively quiet at the start of the week, fluctuations in crude oil prices impact USD/CAD's movements. The US Dollar Index, which lost 0.3% following the mixed June jobs report from the US on Friday, is moving sideways around 92.20 on Monday as US markets remain closed in observance of the Independence Day holiday.

Earlier in the day, the barrel of West Texas Intermediate (WTI) fluctuated in the negative territory below $75 and made it difficult for the commodity-related loonie to find demand.

However, crude oil prices gained traction later in the day and provided a boost to the CAD. Following Monday's consultations, OPEC and non-OPEC producers decided to postpone the meeting, leaving the group's oil output unchanged. Fueled by this development, WTI turned north and was last seen gaining 1.4% on the day at $76.15.

Meanwhile, the Bank of Canada's Business Outlook Survey painted a relatively optimistic outlook, helping the CAD preserving its strength against its rivals.

BoC: Firms’ inflation expectations increased in Q2.

Technical levels to watch for

USD/CAD

Overview
Today last price	1.2332
Today Daily Change	0.0012
Today Daily Change %	0.10
Today daily open	1.232

Trends
Daily SMA20	1.2273
Daily SMA50	1.2201
Daily SMA100	1.2388
Daily SMA200	1.2667

Levels
Previous Daily High	1.245
Previous Daily Low	1.2309
Previous Weekly High	1.245
Previous Weekly Low	1.2288
Previous Monthly High	1.2487
Previous Monthly Low	1.2007
Daily Fibonacci 38.2%	1.2363
Daily Fibonacci 61.8%	1.2396
Daily Pivot Point S1	1.227
Daily Pivot Point S2	1.2219
Daily Pivot Point S3	1.2129
Daily Pivot Point R1	1.241
Daily Pivot Point R2	1.25
Daily Pivot Point R3	1.2551

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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