USD/CAD testing lows in sub-1.3200 levels

The greenback continues to lose momentum today, now sending USD/CAD to test the lower end of the range in the sub-1.3200 area.

USD/CAD attention to data, oil

After testing fresh 4-month tops in the 1.3240 area on Monday, spot has sparked the current leg lower to the 1.3200/1.3190 band following some sort of recovery in crude oil prices and a persistent selling mood surrounding the buck.

in fact, the barrel of West Texas Intermediate is hovering over the $43.00 mark at the time of writing, up smalls and cautious ahead of the weekly reports by API later today and EIA tomorrow.

In the meantime, USD will remain in centre stage in light of today’s releases in the US calendar: S&P/Case-Shiller index, advanced Markit’s Services PMI, New Home Sales and Consumer Confidence tracked by the Conference Board.

USD/CAD significant levels

As of writing the pair is retreating 0.13% at 1.3201 facing the initial support at 1.2858 (low Jul.14) followed by 1.2827 (low Jul.4) and finally 1.2674 (low Jun.23). On the flip side, a breakout of 1.3241 (high Jul.25) would target 1.3311 (38.2% Fibo of the 2016 down move) en route to 1.3575 (50% Fibo of the 2016 down move).