USDCAD remains at six-week lows, capped below 1.3300

- Advertisement -
  • The dollar falls to six-week lows at 1.3255.
  • CAD extends gains on rising oil prices and risk appetite.
  • US consumer sentiment deteriorated more than expected in November.

The USD has extended its losses against its Canadian counterpart on Friday, hitting a fresh six-week low at 1.3255. The pair remains on the defensive after depreciating almost 2% in the last two days, with limited upside attempts below 1.3300 so far.

Canadian dollar rises on risk appetite and rising oil prices

Oil prices appreciated almost 3% on Friday, with US benchmark WTI oil struggling to break back above the $88.00 mark, after bouncing off $84.00 on Thursday. This has underpinned the advance of the Loonie, as Canada is one of the world’s leading crude oil producers.

- Advertisement -

Softer-than-expected US inflation data on Thursday, with annual CPI slowing to 7.7% in October from 8.2% in September, weighed on the dollar broadly. These figures have added to evidence that price pressures are starting to ease, leading investors to anticipate a shift from the Federal Reserve to a slower rate hike.

Inflation data in the US has boosted risk appetite, sending US Treasuries and the dollar higher. The dollar index, which measures the value of the dollar against a basket of currencies, has slumped 3.3% in the past two days, hitting levels below 107.00 for the first time since mid-August.

- Advertisement -

In a very scarce macroeconomic calendar, with the celebration of Veterans Day in the US, the preliminary Michigan Consumer Sentiment index has deteriorated more than expected, weighed down by concerns about inflation and rising rates of interest.

Technical levels to watch


last price today 1.3275
Today I change daily -0.0050
daily change today -0.38
Daily opening today 1.3325
daily SMA20 1.3626
daily SMA50 1.3523
daily SMA100 1.3225
daily SMA200 1.2976
Previous daily high 1.3571
Previous Daily Low 1.3325
Previous Weekly High 1.3808
Previous Weekly Low 1.3469
Previous Monthly High 1.3978
Previous Monthly Low 1.3496
Daily Fibonacci of 38.2% 1.3419
Daily Fibonacci of 61.8% 1.3477
Daily Pivot Point S1 1.3243
Daily Pivot Point S2 1.3161
Daily Pivot Point S3 1.2997
Daily Pivot Point R1 1.3489
Daily Pivot Point R2 1.3653
Daily Pivot Point R3 1.3735

Source: Fx Street

- Advertisement -


Please enter your comment!
Please enter your name here

Hot Topics

Related Articles