FxWirePro: USD/CAD outlook weaker on renewed downside pressure
The USD/CAD pair declined on Tuesday as the Canadian dollar strengthened as oil rallied and greenback selloff deepened. Falling U.S. dollar and Saudi Arabia's pledge to adhere to OPEC's commitment to cut output supported…
The USD/CAD pair declined on Tuesday as the Canadian dollar strengthened as oil rallied and greenback selloff deepened.
Falling U.S. dollar and Saudi Arabia's pledge to adhere to OPEC's commitment to cut output supported crude prices.
However, gains were capped by rising U.S. production and scepticism that the Organization of the Petroleum Exporting Countries as a whole would comply with its commitment to reduce supplies.
The pair hit low at 1.3018 levels in the early US session, but recovered slightly towards 1.3068 as oil prices pared gains.
The pair remains weak, as the Canadian dollar is set to gain further against dollar in the short term.
The immediate support can be seen at 1.3060, break below this level will expose the pair to next support level at 1.3000.
Major resistance can be seen at 1.3200, break above this level will expose it towards 1.3290 levels.
