USD/CAD struggles to make a meaningful recovery, trades below 1.34 ahead of data


  • WTI posts small gains ahead of weekly EIA data.
  • US Dollar Index recovers above 97.
  • Coming up: ADP employment report from the U.S. and labour productivity data from Canada. 

After closing the first two days of the week in the negative territory, the USD/CAD pair extended its slide on Wednesday amid the broad-based selling pressure surrounding the greenback and dropped to its lowest level since May 22 at 1.3360. Although the pair staged a modest rebound in the last hour, it was still down 0.12% on the day at 1.3375.

Following dovish Fed commentary earlier this week, investors started to price the heightened odds of a rate cut. While speaking at an event organized by the Federal Reserve Bank of Chicago, FOMC Chairman Powell didn't use the term "patient" when talking about a possible policy reaction from Fed to concerns over the potential negative impact of the trade conflict on the economic outlook. Pressured by these comments, the US Dollar Index slumped below the 97 mark for the first time since mid-April and was last seen down 0.06% on the day at 97.07.

Furthermore, crude oil prices extend the technical recovery for the second straight day with the barrel of West Texas Intermediate posting modest gains above the $53 mark ahead of the weekly EIA data and helping the commodity-sensitive loonie preserve its strength.

Later in the day, first-quarter labour productivity data from Canada and the ADP private sector employment and Markit Services PMI reports from the U.S. will be looked upon for fresh impetus.

Technical levels to consider

USD/CAD

Overview
Today last price 1.3378
Today Daily Change -0.0016
Today Daily Change % -0.12
Today daily open 1.3394
 
Trends
Daily SMA20 1.3457
Daily SMA50 1.3418
Daily SMA100 1.3347
Daily SMA200 1.327
Levels
Previous Daily High 1.3475
Previous Daily Low 1.3382
Previous Weekly High 1.3566
Previous Weekly Low 1.3429
Previous Monthly High 1.3566
Previous Monthly Low 1.3357
Daily Fibonacci 38.2% 1.3417
Daily Fibonacci 61.8% 1.3439
Daily Pivot Point S1 1.3358
Daily Pivot Point S2 1.3323
Daily Pivot Point S3 1.3265
Daily Pivot Point R1 1.3452
Daily Pivot Point R2 1.351
Daily Pivot Point R3 1.3546

 

 

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 struggling to hold onto 1.10 as USD gains ground

EUR/USD is trading close to 1.10, as the US dollar gradually advances. Two White House advisers expressed contradicting accounts of US-Sino trade talks, causing confusion. Germany refrained from adding fiscal stimulus.

EUR/USD News

GBP/USD trades around 1.25 as EU pours cold water on Brexit hopes

GBP/USD is trading around 1.25, off the two-month highs of 1.2582 as EU officials cast doubts about the seriousness of the new UK proposals on Brexit. 

GBP/USD News

USD/JPY drops to one-week lows on trade war headlines

The USD/JPY fell during the American session following reports that the Montana Farm Bureau said China's delegation has canceled a planned trip to view US agriculture.

USD/JPY News

Gold climbs further beyond $1500 mark, lacks follow-through

Gold edged higher for the second consecutive session on Friday, albeit remained well within a familiar trading range held over the past two weeks or so.

Gold News

Top 3 price prediction Bitcoin, Ripple, Ethereum: Ethereum points to the Moon as Bitcoin takes a break

ETH/USD exceeds $220 and is bidding to lead the market. Bitcoin sets a bear trap and recaptures $10,000. XRP stalls between technical levels and fails to consolidate $0.30.

Read more

Forex MAJORS

Cryptocurrencies

Signatures