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   “¢   A modest USD rebound helped ease the prevalent bearish pressure.
   “¢   Softer than expected Canadian CPI figures provides an additional boost.
   “¢   Surging oil prices underpinned Loonie and capped any further up-move.

The USD/CAD pair maintained its offered tone through the early North-American session, albeit managed to recover few pips post-Canadian CPI figures.

The pair managed to find some support near the 1.3130 region amid a modest US Dollar rebound from three-week lows and got an additional boost from softer than expected Canadian consumer inflation figures.  

Data released on Wednesday showed Canadian headline CPI recorded a modest m/m rise of 0.1% in January, with the yearly rate and BoC’s core CPI decelerating sharply to 1.4% y/y and 1.5% y/y respectively.

The pair did tick higher in reaction to the data, albeit a strong follow-through upsurge in crude oil prices, now up over 2% for the day, continued underpinning the commodity-linked – Loonie and kept a lid on any meaningful recovery.  

It would now be interesting to see if the pair is able to attract any strong follow-through buying or resumes with its prior depreciating move as the focus now shifts to the Fed Chair Jerome Powell’s second appearance before the Congress.

Technical levels to watch


       Today Last Price:  1.3147
       Today Daily change %:  -0.16%
       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