OctaFX | OctaFX Forex Broker
Open trading account

USD/CAD pulls away from 19-month highs, trades around 1.3600

  • Broad-based USD weakness doesn't allow the pair to extend its rally.
  • WTI trades in a tight range above the $45 handle.
  • Coming up: Trade balance and housing data from the U.S.

After posting its highest daily close since mid-May of 2017 at 1.3620, the USD/CAD pair stays relatively quiet on Friday as thin trading conditions ahead of the New Year break keep the price action subdues. As of writing, the pair was trading at 1.3603, losing 15 pips on a daily basis.

Despite the broad-based USD weakness on Thursday, the pair was able to push higher above the 1.36 mark as the falling crude oil prices weighed on the commodity-related loonie. With the barrel of West Texas Intermediate trading in a tight range above the $45 mark and the US Dollar Index extending its slide today, the pair found an opportunity to correct its recent uptrend. Later in the session, the EIA is going to publish its weekly oil report, which could cause sharp fluctuations in crude oil prices.

Meanwhile, ahead of the trade balance and home sales data, the US Dollar Index is losing 0.35% on a daily basis at 96.25.

Technical levels to consider

The initial resistance for the pair aligns at 1.3660 (Dec. 27 high) ahead of 1.3720 (May 15, 2017, high) and 1.3790 (May 5, 2017, high). On the downside, supports are located at 1.3575 (Dec. 27 low), 1.3490/1.3500 (Dec. 21 low/psychological level) and 1.3445 (Dec. 20 low).

India FX Reserves, USD climbed from previous $393.12B to $393.29B in December 21

India FX Reserves, USD climbed from previous $393.12B to $393.29B in December 21
Read more Previous

US: NFP likely to print 165,000 in December – ING

James Knightley, chief international economist at ING, suggests that after the US non-farm payrolls rose a slightly disappointing 155,000 in November,
Read more Next
Start livechat