• USD/CAD pair declined on Wednesday as oil prices rose and dollar dipped after investors turned cautious after President Donald Trump fired his FBI chief.
   
• Oil prices rose after Iraq and Algeria joined Saudi Arabia in supporting an extension to OPEC supply cuts and U.S. crude inventories fell more than expected.
   
• But the rise failed to recoup last week's losses with concerns about rising output from the United States, Libya and Nigeria continuing to weigh.
   
• Investors are now waiting to see if those numbers are confirmed on Wednesday by official figures on weekly U.S. crude and oil product inventories from the U.S. government's Department of Energy, due out at 1430 GMT.
   
• Further, decline for this pair is expected to be limited as US dollar is set to gain strength across the board in the as June US rate hike speculation is set to weigh on the Canadian dollar.
   
• To the upside, the strong resistance can be seen at 1.3748, a break above this level would take the pair towards next resistance level at 1.3798.
   
• To the downside, immediate support can be seen 1.3647, a break below this level will open the door towards next level at 1.3600.
  
  Resistance Levels
  
  R1: 1.3748 (38.2% Retracement level)                      
  
  R2: 1.3798 (May 5th high)
  
  R3: 1.3875 (23.6% Retracement level)
  
  Support Levels
  
  S1: 1.3647 (50% Retracement level)
  
  S2: 1.3600 (Psychological level)
  
  S3: 1.3540 (61.8% Retracement level)