USD/CAD: US Dollar rises to 1.3400 as crude oil declines
- USD/CAD is testing the 1.3400 figure.
- USD broad-based strength along with CAD weakness helps USD/CAD to trade at multi-month's high
USD/CAD is trading at about 1.3400 up 0.5% this Monday as the currency is erasing last Friday losses.
USD/CAD is currently trading near multi-month’s high as the US Dollar is having a boost this Monday. In fact, US stock indices are rebounding from 3-month’s low. The risk-on environment is benefitting the Greenback as investors are buying USD-denominated shares.
On the Canadian side of the story, oil-correlated CAD is on the backfoot as WTI crude oil lost about $2.00 as the week started. Black Gold is currently trading near $51.00 a barrel.
On the technical picture, USD/CAD hit the 1.3400 level as forecast.
USD/CAD is trading in a bull trend above its 50, 100 and 200-period simple moving average on the 4-hour chart. If the bulls can sustain prices above 1.3400 then the next targets become 1.3520 and the 1.3640 level. To the downside, support is seen near 1.3300 and the 1.3150 level.
USD/CAD 4-hour chart