USD/CAD takes on the Asian recovery beyond 1.3200

The bulls found strong support just ahead of 5-DMA located at 1.3192, allowing a minor-recovery in USD/CAD back beyond 1.32 handle.

USD/CAD trades above all major DMAs

Currently, the USD/CAD pair trades +0.16% higher at 1.3221, having printed fresh session highs at 1.3229 in the last hour. USD/CAD remains well bid, although struggles hard to extend the recovery further towards 1.3250 barrier, as oil prices stalled its downward spiral and now looks to stabilize in response to bullish API report.

Moreover, the US dollar took a breather from the renewed uptick seen against its major peers over the last hour, and now consolidates the overnight gains. Hence, the recovery appears capped in the USD/CAD pair.

All eyes remain on the US economic data, Yellen’s testimony and EIA crude inventory report due later in the American session for fresh momentum on the major.

USD/CAD Technical Levels

To the upside, the next resistances are seen near 1.3250 (psychological levels) and 1.3276 (six-month high) and from there to 1.3300 (round figure). To the downside, immediate support might be located at 1.3192 (5-DMA) and below that at 1.3170 (10-DMA) and at 1.3112 (20-DMA).