USD/CAD drops to 3-month low as oil revisits daily highs

By FXStreet The CAD is on the run again as oil regained bid tone, pushing the USD/CAD to a fresh three-month low of 1.3216.

Focus on US Baker Hughes data

Trend in Canadian dollar depends on the US Baker Hughes oil rig inventory report. CAD took a hit following the release of Canada unemployment data, sending the USD/CAD to above 1.32 handle. However, oil prices regained bid tone, with both benchmarks- WTI and Brent – revisiting daily highs.

Consequently, the USD/CAD pair fell to three-month low of 1.3216 levels.

USD/CAD Technical Levels

The immediate hurdle is seen at 1.3270 (76.4% of 1.2832-1.4690), above which prices could test resistance at 1.3361 (10-DMA) and 1.3542 (61.8% of 1.2832-1.46900. On the other hand, a break below 1.32 (psychological figure) would expose 1.3135 (38.2% of 1.0620 – 1.4690) and 1.31 handle.
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Source:: FX Street