6 Apr 2015
USD/CAD: Canadian dollar advances on higher oil prices
FXStreet (Mumbai) - The Canadian dollar extended its winning streak for the fourth straight session versus its US counterpart, as oil prices rallied amid a weak US dollar and as Saudi Arabia increased prices for crude sales to Asia for a second month, citing improved global demand.
Higher oil prices boost CAD
Currently, the USD/CAD pair trades lower by -0.17% at 1.2467, retreating from fresh session lows posted at 1.2453 some time ago. The Canadian dollar remains supported against the US dollar driven by a strong upsurge in oil prices coupled with dismal US employment figures released on last Friday.
The greenback was under pressure as weaker-than-expected jobs growth in the US delayed the prospectus of the Fed rate hike. While, Saudi Aramco, a state owned co., said it narrowed the discount for crude to 60 cents a barrel for May from 90 cents in April.
Looking ahead, final Markit US services PMI, ISM's US non-manufacturing index, US labour market conditions index and Canada Ivey PMI - all for March, are set to be published in the North American session.
USD/CAD Technical Levels
To the upside, the next resistance is located at 1.2500 levels and above which it could extend gains 1.2567 (10-DMA) levels. To the downside immediate support might be located at 1.2426 levels, below that at 1.2400 levels.
Higher oil prices boost CAD
Currently, the USD/CAD pair trades lower by -0.17% at 1.2467, retreating from fresh session lows posted at 1.2453 some time ago. The Canadian dollar remains supported against the US dollar driven by a strong upsurge in oil prices coupled with dismal US employment figures released on last Friday.
The greenback was under pressure as weaker-than-expected jobs growth in the US delayed the prospectus of the Fed rate hike. While, Saudi Aramco, a state owned co., said it narrowed the discount for crude to 60 cents a barrel for May from 90 cents in April.
Looking ahead, final Markit US services PMI, ISM's US non-manufacturing index, US labour market conditions index and Canada Ivey PMI - all for March, are set to be published in the North American session.
USD/CAD Technical Levels
To the upside, the next resistance is located at 1.2500 levels and above which it could extend gains 1.2567 (10-DMA) levels. To the downside immediate support might be located at 1.2426 levels, below that at 1.2400 levels.