USD/CAD tumbles to the 1.2250 area, fresh three-year low

Loonie resumes upside versus US dollar after Tuesday’s pause.
USD/CAD about to post the lowest close since September 2017.

Matías Salord FXStreet

The USD/CAD resumed the decline and dropped below 1.2265, hitting at 1.2251, the lowest intraday level since January 2018; on a daily basis, it could post the lowest close since September 2017. Despite rising versus the US dollar, the loonie is modestly lower against NZD and AUD on Wednesday.

The slide in USD/CAD took place amid a broad-based US dollar decline, amid risk appetite and lower US yields following mixed US data. The DXY stands at 91.25, flat for the day after being unable to break above 91.40. Data showed mixed reading from the service sector and an increase in private payrolls by 743K according to ADP, the strongest month since September of last year.

In Wall Street, equity prices offset a weak start and turned definitively positive. The Dow Jones gains 0.45%, and the Nasdaq climbs 0.61%. The 10-year yields dropped under 1.60%. Crude oil prices are off highs, with the WTI up 0.60% at $66.10.

The USD/CAD holds a clear bearish bias, and a close below 1.2260 would keep it under pressure. The next support area is 1.2250, followed by 1.2190. On the upside, resistance levels are located at 1.2265, 1.2285, and 1.2310.

Additional levels

USD/CAD

Overview
Today last price	1.2258
Today Daily Change	-0.0053
Today Daily Change %	-0.43
Today daily open	1.2311

Trends
Daily SMA20	1.2463
Daily SMA50	1.253
Daily SMA100	1.2634
Daily SMA200	1.2892

Levels
Previous Daily High	1.2352
Previous Daily Low	1.2276
Previous Weekly High	1.2491
Previous Weekly Low	1.2266
Previous Monthly High	1.2654
Previous Monthly Low	1.2266
Daily Fibonacci 38.2%	1.2323
Daily Fibonacci 61.8%	1.2305
Daily Pivot Point S1	1.2274
Daily Pivot Point S2	1.2237
Daily Pivot Point S3	1.2198
Daily Pivot Point R1	1.235
Daily Pivot Point R2	1.2388
Daily Pivot Point R3	1.2425

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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