USD/CAD portrays another attempt to break monthly high amid overall greenback strength

USD/CAD keeps it strong above 200-DMA.
The Loonie pair still remains below the monthly top.
The US Dollar (USD) registers across the board gains while WTI witnesses pullbacks.

Anil Panchal FXStreet

The USD/CAD pair’s sustained trading beyond 200-day simple moving average (DMA) enables it to remain firm around 1.3330 during Tuesday’s Asian session.

Despite geopolitical tension in Syria, and also concerning Iran, oil prices fail to rise as the USD’s overall strength disappoints commodity buyers. As a result, the Loonie pair also have to register gains.

It should also be noted that uncertainty surrounding the US-China trade talks is offering additional weight on the commodity-linked currencies, like the Canadian Dollar (CAD).

The greenback buyers have an additional reason to cheer. That is comments from the Federal Reserve Bank of Boston’s President reducing the scope of further Fed rate cuts.

Given the absence of major data/event, investors will keep an eye over news/headlines for fresh impulse.

Technical Analysis

Repeated failures to cross the monthly high around 1.3345/50 makes it the key towards June month top surrounding 1.3435. On the downside, 1.3250 and 50-DMA level of 1.3180 will be important for sellers to watch.

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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