• The USD/CAD pair inched higher on Tuesday as the Canadian dollar lost ground against US dollar as investors betted that U.S. interest rates could rise by year-end and oil prices fell for a second day in a row.
   
• The currency pair is trading around 1.3079 levels , speculation about a potential Federal Reserve interest rate hike and falling oil prices is set to strengthen the currency pair in the short term.
   
• The immediate support can be seen at 1.3043, break below this level will expose the pair to next support level at 1.2994.
   
• Major resistance can be seen at 1.3153, break above this level will expose it towards 1.3200 and beyond.
  
  Resistance Levels
  
  R1: 1.3093 (38.2% Retracement level)
  
  R2: 1.3153 (23.6% Retracement level)
  
  R3: 1.3200 (Psychological levels)
  
  Support Levels
  
  S1: 1.3043 (50% Retracement level)        
  
  S2: 1.2994 (61.8% Retracement level)
  
  S3: 1.2922 (Aug 12th lows)