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   “¢   The USD fails to capitalize on the attempted intraday bounce.  
   “¢   Surging oil prices underpin Loonie and add to the selling pressure.
   “¢   Focus remains on today’s release of the latest Canadian CPI figures.

The USD/CAD pair finally broke down of its Asian/early European session consolidative phase and refreshed session lows, below mid-1.31000s in the last hour.

The pair extended previous session’s sharp retracement slide from the vicinity of 100-day SMA barrier and traded with a negative bias for the second consecutive session, albeit has managed to hold its neck above three-week lows set at the beginning of this week.  

The Fed Chair Jerome Powell’s overnight comments, reiterating that the central bank would stay patient on monetary policy, kept a lid on the US Dollar’s attempted intraday bounce from multi-week lows and kept exerting some downward pressure.

Adding to this, a strong follow-through surge in crude oil prices provided an additional boost to the commodity-linked currency – Loonie and was seen as one of the key factors behind the pair’s latest leg of a sudden drop of around 25-pips in the last hour or so.

The pair has now weakened back to the very important 200-day SMA support, which if broken should pave the way for a further downside, albeit investors’ reluctant to place any aggressive bets ahead of today’s release of Canadian CPI figures might help limit deeper losses.

Technical levels to watch


       Today Last Price:  1.3148
       Today Daily change %:  -0.15%
       Today Daily Open:  1.3168
       Daily SMA20:  1.3204
       Daily SMA50:  1.3334
       Daily SMA100:  1.3266
       Daily SMA200:  1.3161
       Previous Daily High:  1.3238
       Previous Daily Low:  1.3155
       Previous Weekly High:  1.3294
       Previous Weekly Low:  1.3134
       Previous Monthly High:  1.3664
       Previous Monthly Low:  1.3118
       Daily Fibonacci 38.2%:  1.3187
       Daily Fibonacci 61.8%:  1.3206
       Daily Pivot Point S1:  1.3136
       Daily Pivot Point S2:  1.3105
       Daily Pivot Point S3:  1.3054
       Daily Pivot Point R1:  1.3219
       Daily Pivot Point R2:  1.3269
       Daily Pivot Point R3:  1.3301