USD/CAD tests 1.3150 support once again

The recovery in the USD/CAD pair lost steam just below 5-DMA, as the bears snatched back control and now send the rate sharply lower to fresh daily lows.

USD/CAD rejected near 5-DMA at 1.3191

Currently, the USD/CAD pair trades -0.29% lower at fresh session lows of 1.3154, reversing an uptick to 1.3182 levels. USD/CAD dives deeper into the red as the Loonie cheers extension of the gains in oil prices amid upbeat API report and rising Japanese oil imports.

More so, the latest leg lower in the major can be also attributed to a bout of fresh selling witnessed in the US dollar across the board. The USD index stalls recovery and slips back in the red, now flirting with daily lows reached earlier at 95.92 levels.

Next of relevance for the major remains the Canadian wholesale sales and EIA crude stockpiles data ahead of the FOMC decision due later in the NA session.

USD/CAD Technical Levels

To the upside, the next resistances are seen near 1.3191 (5-DMA) and 1.3229 (daily R1). To the downside, immediate support might be located at 1.3138 (200-DMA) and below that at 1.3103 (daily R3).