“¢ The ongoing USD corrective slide continues exerting downward pressure.
“¢ Bulls seemed uninspired by a modest retracement in crude oil prices.
“¢ Investors’ focus shifts to Canadian GDP print/US macro data.
The USD/CAD pair remained under some selling pressure for the second consecutive session and is currently placed at 1-1/2 week lows, around the 1.3220 region.
The pair continued with its corrective slide from the 1.3400 neighborhood, or one-year high set on Wednesday, and was further weighed down by the ongoing US Dollar retracement from 11-month tops.
With investors still digesting a downward revision of the US Q1 GDP growth figures, EU immigration deal prompted some aggressive short-covering move around the shared currency and exerted some additional downward pressure on the greenback.
Even a mildly weaker tone around crude oil prices, which tends to undermine demand for the commodity-linked currency – Loonie, did little to lend any support, with the USD price dynamics acting as an exclusive driver of the pair’s downslide on the last trading day of the week.
Investors now turn their focus to the monthly release of Canadian GDP growth figures, which along with US economic data should provide some fresh directional impetus later during the early North-American session.
Technical levels to watch
Immediate support is pegged near the 1.3200 handle, below which the pair could extend the slide further towards the 1.3165-60 region. On the upside, previous support, near the 1.3260-65 region now seems to act as an immediate hurdle, which if cleared could assist the pair back towards reclaiming the 1.3300 handle.
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