USD/CAD slammed to weekly lows amid oil-price rally

The USD/CAD pair extends its losing streak into a fourth-day this Thursday, however, over the last hour, the bears take a breather and allow a tepid bounce from fresh weekly lows on 1.30 handle.

USD/CAD eyes 50-DMA at 1.3036

Currently, the USD/CAD pair trades -0.12% lower at 1.3084, recovering from fresh one-week lows reached at 1.3060 earlier today. USD/CAD continues to face double whammy from higher oil prices amid Syrian airstrike news and bullish EIA weekly inventory report.

While broad based US dollar sell-off triggered by a cautious Fed approach, also added to the downward spiral in the major. The USD index now hovers near four-day lows 95.32, as markets continue to find hints on Fed rate hike prospects this year.

Nothing much of relevance for the major in the day ahead, and hence focus shifts towards a set of macro updates from Canada, including the CPI and retail sales data, for further momentum.

USD/CAD Technical Levels

To the upside, the next resistances are seen near 1.3100 (round figure) and 1.3155/56 (5 & 10-DMA). To the downside, immediate support might be located at 1.3036 (50-DMA) and below that at 1.3002 (daily R2).