USD/CAD reverses from above 1.3500

The Canadian dollar is regaining lost footing versus its American counterpart in mid-Asia, knocking-off USD/CAD back below 1.35 handle.

USD/CAD fails once again above 1.35 barrier.       

Currently, the USD/CAD pair advances 0.14% to 1.3486, retreating sharply from fresh session highs reached at 1.3514 few minutes ago. The USD/CAD pair ran through fresh offers above 1.3500 levels over the last hour, largely on the back of aggressive selling seen in the greenback across the board.

However, the downside remains cushioned on the back of strengthening treasury yields and renewed weakness seen in oil prices, which weigh negatively on the resource-linked Loonie.

Markets now look forward to the US economic news and speech from Fed’s Fischer due later today, while thin liquidity is likely to prevail amid a public holiday in both US and Canada.

USD/CAD Technical Levels

To the upside, the next resistances are seen near 1.3514 (daily high) and 1.3550 (psychological levels) and from there to 1.3589 (Feb 28 high). To the downside, immediate support might be located at 1.3454 (daily pivot) and below that at 1.3406 (5-DMA) and at 1.3375 (20-DMA).

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