• US dollar recovers during the American session, DXY still down sharply.
  • Canadian dollar among weakest currencies on Tuesday despite higher crude oil prices.
  • USD/CAD finds support above 1.2800.

The USD/CAD bounced to the upside and eared losses on Tuesday after the greenback gained momentum during the American session. The pair printed a fresh daily high at 1.2854 and it is hovering around 1.2845. Earlier on Tuesday it bottomed at 1.2805, the lowest level since May 5.

The US dollar was falling sharply across the board amid risk appetite. During the last hours, the greenback recovered ground after US yields turned to the upside and as US stocks trimmed gains. The US 10-year yield rose from 2.90% to 2.97% and the 30-year yield from 3.11% to 3.16%. The Dow Jones is up by 0.55% or 165 points, down 200 points from the high.

Economic data from the US came in above expectations. Retail Sales rose 0.9% in April against the 0.7% of market consensus (March figures were revised higher). Industrial Production advanced 1.1%, above the 0.5% expected by analysts. The numbers helped the dollar.

The loonie is falling also versus the Australian and the New Zealand dollar, despite higher crude oil prices. The broad correction in markets boosted NZD/CAD and AUD/CAD.

Rebounding from the 20-day SMA

The slide of USD/CAD from the highest level in more than a year found support above the 1.2800 area. The rebound pushed the price back above the 20-day Simple Moving Average at 1.2835. A daily close below the line could open the doors to another test of 1.2800. The next support stands at 1.2770 and 1.2720.

If USD/CAD holds above the 20-day SMA, attention would turn to the next resistance at 1.2855 followed by 1.2870 and 1.2905.

Technical levels

USD/CAD

Overview
Today last price 1.284
Today Daily Change -0.0005
Today Daily Change % -0.04
Today daily open 1.2845
 
Trends
Daily SMA20 1.2824
Daily SMA50 1.2696
Daily SMA100 1.269
Daily SMA200 1.2654
 
Levels
Previous Daily High 1.2982
Previous Daily Low 1.2836
Previous Weekly High 1.3077
Previous Weekly Low 1.2893
Previous Monthly High 1.288
Previous Monthly Low 1.2403
Daily Fibonacci 38.2% 1.2892
Daily Fibonacci 61.8% 1.2926
Daily Pivot Point S1 1.2793
Daily Pivot Point S2 1.2742
Daily Pivot Point S3 1.2648
Daily Pivot Point R1 1.2939
Daily Pivot Point R2 1.3033
Daily Pivot Point R3 1.3084

 

 

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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content


Recommended content

Editors’ Picks

EUR/USD recovers modestly, trades above 1.0400

EUR/USD recovers modestly, trades above 1.0400

EUR/USD has managed to stage a modest rebound in the American session and climbed above 1.0400. Despite the risk-averse market environment, falling US Treasury bond yields after the latest inflation data seem to be limiting the greenback's gains for the time being.

EUR/USD News

GBP/USD rises above 1.2150 as dollar retreats

GBP/USD rises above 1.2150 as dollar retreats

Gold has gained traction and turned positive on the day above 1.2150. With the US T-bond yields falling sharply on soft inflation data, the US Dollar Index turned south and erased a large portion of its daily gains, helping GBP/USD push higher.

GBP/USD News

Gold rebounds toward $1,820 on falling yields

Gold rebounds toward $1,820 on falling yields

Gold has turned north and advanced to the $1,820 area after having dropped toward $1,800 earlier in the day. The benchmark 10-year US T-bond yield is down more than 2% on the day near 3% after the latest US data, fueling XAU/USD's upside.

Gold News

Breaking: Ethereum price tanks below $1,000

Breaking: Ethereum price tanks below $1,000

Ethereum price has breached a critical area of support over the past few hours, dipping below $1,000. The Fibonacci retracement indicator shows that ETH lacks any significant support levels that could keep prices at bay.

Read more

FXStreet Premium users exceed expectations

FXStreet Premium users exceed expectations

Tap into our 20 years Forex trading experience and get ahead of the markets. Maximize our actionable content, be part of our community, and chat with our experts. Join FXStreet Premium today!

BECOME PREMIUM

Forex MAJORS

Cryptocurrencies

Signatures