USD/CAD plummets to lows, around mid-1.3200s post-Canadian CPI

Hotter-than-expected Canadian CPI exerts some heavy pressure in the last hour.
Bullish Crude Oil prices add to the selling bias amid a subdued USD price action.
The downside seems limited ahead of Wednesday’s release of FOMC minutes.

Haresh Menghani FXStreet

The USD/CAD pair continued losing ground through the early North-American session and tumbled to fresh session lows - around mid-1.3200s - post-Canadian CPI figures.

CAD boosted by bullish Oil prices/hotter CPI

According to the latest report, Canadian headline consumer inflation - as measured by CPI - came in hotter than expected and edged up by 0.5% in July, helping the yearly rate to hold steady at 2.0% as against consensus estimates pointing to a fall to 1.7%.

This against the backdrop of the ongoing bullish run in Crude Oil prices provided a strong boost to the commodity-linked currency - Loonie and exerted some heavy downward pressure on the major though mixed readings from the BoC's core CPI helped limit the downside.

Meanwhile, a subdued US Dollar price action - despite a goodish pickup in the US Treasury bond yields - did little to lend any support or stall the sharp intraday slide ahead of the next big event risk - the release of the latest FOMC monetary policy meeting minutes.

Technical levels to watch

USD/CAD

Overview
Today last price	1.33
Today Daily Change	-0.0018
Today Daily Change %	-0.14
Today daily open	1.3318

Trends
Daily SMA20	1.3232
Daily SMA50	1.3185
Daily SMA100	1.3299
Daily SMA200	1.3314

Levels
Previous Daily High	1.3346
Previous Daily Low	1.3308
Previous Weekly High	1.334
Previous Weekly Low	1.3184
Previous Monthly High	1.3215
Previous Monthly Low	1.3016
Daily Fibonacci 38.2%	1.3323
Daily Fibonacci 61.8%	1.3332
Daily Pivot Point S1	1.3302
Daily Pivot Point S2	1.3287
Daily Pivot Point S3	1.3265
Daily Pivot Point R1	1.334
Daily Pivot Point R2	1.3362
Daily Pivot Point R3	1.3378

Author

Haresh Menghani

FXStreet

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

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