USD/CAD pares early gains, trades around 1.3280 ahead of US, Canada data

WTI posts strong recovery gains ahead of weekly EIA data.
US Dollar Index clings to modest daily gains above 98.
Coming up: Trade Balance from Canada, ADP Employment Change and Non-Manufacturing PMI data from US.

Eren Sengezer FXStreet

The USD/CAD pair advanced to a daily high of 1.3300 earlier in the day but reversed its direction with the crude oil recovery helping the commodity-sensitive CAD stay resilient against the USD. As of writing, the pair was trading at 1.3280, still up 0.05% on a daily basis.

The decisive rally witnessed on the US Treasury bond yields on Tuesday and Wednesday seems to be helping the greenback gather strength with the US Dollar Index climbing above the 98 handle. Later in the day, the ADP Employment Change, Markit Services PMI and the ISM Non-Manufacturing PMI data from the US will be looked upon for fresh impetus. Additionally, Statistics Canada will release the Trade Balance figures.

Eyes on OPEC

In the meantime, reports suggesting that Russia will cooperate with the OPEC allowed crude oil prices to gain traction. The barrel of West Texas Intermediate, which touched a fresh daily high of $51.17, was last seen trading at $50.75, up 2.7% on the day.

The Energy Information Administration (EIA) will release its weekly crude oil market report later in the day. More importantly, OPEC's Joint Technical Committee (JTC) is expected to announce its recommendation on oil output cuts with an aim to negate the impact of the coronavirus outbreak on the global demand.

Technical levels to watch for

USD/CAD

Overview
Today last price	1.3281
Today Daily Change	0.0000
Today Daily Change %	0.00
Today daily open	1.3281

Trends
Daily SMA20	1.3127
Daily SMA50	1.314
Daily SMA100	1.3179
Daily SMA200	1.3226

Levels
Previous Daily High	1.3303
Previous Daily Low	1.3264
Previous Weekly High	1.3255
Previous Weekly Low	1.3148
Previous Monthly High	1.3255
Previous Monthly Low	1.29
Daily Fibonacci 38.2%	1.3279
Daily Fibonacci 61.8%	1.3288
Daily Pivot Point S1	1.3262
Daily Pivot Point S2	1.3244
Daily Pivot Point S3	1.3223
Daily Pivot Point R1	1.3301
Daily Pivot Point R2	1.3322
Daily Pivot Point R3	1.334

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.

EUR/USD climbs to daily highs near 1.1820

EUR/USD now picks up pace and advances to the area of daily peaks north of the 1.1800 barrier at the end of the week. The pair’s decent move higher comes against the backdrop of a generalised lack of direction in the FX galaxy and the mild offered stance in the US Dollar.

GBP/USD trims losses, retests 1.3460

After briefly challenging its key 200-day SMA near 1.3440, GBP/USD now manages to regain some balance and revisit the 1.3460 zone on Friday. Cable’s pullback comes as the selling pressure on the Greenback gathers traction, reigniting some recovery in the risk-linked space.

Gold flirts with four-week highs past $5,200

Gold extends its rebound, climbing for a third consecutive session and pushing back above the $5,200 mark per troy ounce on Friday. The move higher continues to draw support from lingering geopolitical tensions and the ongoing uncertainty surrounding US trade policy, both of which are keeping safe-haven demand firmly in play.

Bitcoin, Ethereum and Ripple consolidate with short-term cautious bullish bias

Bitcoin, Ethereum and Ripple are consolidating near key technical areas on Friday, showing mild signs of stabilization after recent volatility. BTC holds above $67,000 despite mild losses so far this week, while ETH hovers around $2,000 after a rejection near its upper consolidation boundary.

Changing the game: International implications of recent tariff developments

The Supreme Court ruling on International Emergency Economic Powers Act (IEEPA) tariffs provides limited relief for the rest of the world, with weighted average tariff rates modestly lower.

Starknet unveils strkBTC, shielded Bitcoin transactions on Ethereum Layer 2

Starknet, the Ethereum Layer 2 network developed by StarkWare, today announced strkBTC, a wrapped Bitcoin asset that introduces optional shielding while preserving full DeFi composability.