USD/CAD finds support near 1.33 as WTI fails to hold above $66


  • Bearish pressure on USD/CAD loses strength in late NA session.
  • Crude oil prices turn red on the day ahead of tomorrow's Vienna summit.
  • OPEC is reportedly assessing four different scenarios regarding a supply hike.

The selling pressure seen on the USD/CAD pair seems to have weakened in the last hour as investors approach the commodity-sensitive loonie cautiously ahead of the critical OPEC summit Vienna. As of writing, the pair was trading at 1.3303, losing 0.05% on the day.

Earlier in the NA session, the pair erased its daily gains after the greenback lost its strength against its rivals amid falling T-bond yields. The US Dollar Index, once again, failed to hold above the 95 mark and slumped to mid-94s.

However, the latest headlines regarding a possible oil output increase decision tomorrow made it difficult for the CAD to stay resilient against the buck. 

An OPEC delegate claimed that producers were discussing four possible scenarios on output levels including 1 million, 1.5 million, and 1.8 million increase in production. Crude oil prices reacted negatively to these remarks and the barrel of West Texas Intermediate broke below the $66 mark. The barrel of WTI was last seen trading at 65.70, where it was virtually unchanged on the day.

On Friday, investors will be eagerly waiting for OPEC's decision. Moreover, the Bank of Canada is going to publish its core-CPI data, which is expected to ease to 1.4% on a yearly basis.

Technical levels to consider

With a daily close below 1.3300 (psychological level) the pair could continue to erase its weekly gains and aim for 1.3200 (Jun. 19 low/psychological level) and 1.3160 (Jun. 18 low). On the upside, resistances could be seen at 1.3335/40 (daily high/Jun. 21, 2017, high), 1.3400 (psychological level) and 1.3470 (Jun. 12, 2017, high).

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD under pressure just above 1.1000

Despite easing demand for the greenback, the EUR/USD pair remained subdued, holding just above the 1.1000f figure. Speculative interest waiting for a catalyst.

 

EUR/USD News

GBP/USD surges on renewed Brexit hopes

The Sterling beat all of its rivals after Brexit Party’s leader, Nigel Farage, expressed support for Conservatives. Brexit deal coming post-elections?

GBP/USD News

USD/JPY trims losses, rises back above 109.00

The USD/JPY pair trimmed losses over the last hours amid a recovery of the US dollar and despite the decline in equity prices in Wall Street.

USD/JPY News

Gold rebounds from multi-month lows, trades around $1,455

After posting its largest weekly percentage drop of the year and erasing more than $50, the troy ounce of the precious metal remained under pressure on Monday with the XAU/USD pair slumping to its lowest level since early August at $1,452.

Gold News

Central bankers link the future to blockchain projects

The race towards the tokenization of sovereign currencies has begun a long time ago, but it finally enjoying its time in the sun. China has announced its intention to create an e-Yuan, and also in Europe, institutions are considering the matter.

Read more

Forex MAJORS

Cryptocurrencies

Signatures