USD/CAD slides to fresh session low near 1.2975

The USD/CAD pair traded with bearish bias and has now dropped to fresh session low near 1.2975 level, albeit has held within previous day's trading range amid lackluster action on Tuesday. 

Despite a modest pickup in the US Dollar demand, always backed by a continuous upsurge in the US Treasury bond yields did little to help the pair to build on previous session's tepid recovery move. The pair has even failed to benefit from a mildly weaker tone around crude oil prices, which tends to weigh on the commodity-linked currency - Loonie. 

With the pair still holding below the key 1.30 psychological mark, reemergence of fresh selling pressure on every recovery attempts clearly seems to suggest that the pair's near-term bearish momentum might still be far from over.

Investors now look forward to the next catalyst - FOMC meeting minutes on Wednesday and the closely watched NFP data on Friday, to determine the next leg of directional move for the major.

With the US markets closed in observance of the Independence Day, the pair seems more likely to witnesses consolidation phase ahead of this week's important event risks. 

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Technical levels to watch

Immediate support is pegged near 1.2960 level, below the pair is likely to extend its recent depreciating move further towards 1.2925-20 intermediate support en-route the 1.2900 handle.

On the upside, any recovery attempts might continue to face some fresh supply near the 1.30 handle, which if cleared might trigger a short-covering bounce towards 1.3065-70 horizontal resistance ahead of the 1.3100 round figure mark.