USD/CAD consolidates in a range, around mid-1.3200s

The USD/CAD pair extended its sideways price action through the early European session on Tuesday and remained well within the previous session's broa  |  17/09/2019 09:37
  • A modest pullback in Crude Oil prices undermined Loonie and helped gain some traction.
  • The USD fails to capitalize on the overnight goodish intraday up-move and capped gains.

The USD/CAD pair extended its sideways price action through the early European session on Tuesday and remained well within the previous session's broader trading range.
 
After a big bearish gap on Monday, the pair managed to recover a major part of its early fall to the 1.3200 neighbourhood and finally ended the day with only modest losses amid a goodish intraday pickup in the US Dollar demand.
 
It is worth mentioning that drone attacks on oil fields in Saudi Arabia over the weekend led to a sharp upsurge in Crude Oil prices at the start of a new trading week and underpinned demand for the commodity-linked currency - Loonie.

Retreating Oil prices lend support

With Oil prices paring some of the overnight strong gains, the pair managed to attract some follow-through buying interest on Tuesday, albeit a subdued USD price action failed to inspire the bulls or provide any meaningful impetus.
 
The USD failed to capitalize on the overnight intraday move up and remained on the defensive in the wake of firming expectations that the Fed will cut rates by another 25 bps at the end of a two-day policy meeting on Wednesday.
 
In the meantime, absent relevant market-moving economic releases, either from the US or Canada, leave the pair at the mercy of the USD/Oil price dynamics ahead of the crucial FOMC monetary policy meeting starting this Tuesday.

Technical levels to watch

 

Share

Popular News

Show More Popular News

Market Insight's Views

Market Insight analyses will provide both fundamental and technical comprehensions on FX
and other asset classes for Market Insight viewers

RISK WARNING

The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.

If such information is acted upon by you then this should be solely at your discretion and GKFX will not be held accountable in any way.

  • ForexF
  • IndicesI
  • CommoditiesC
        Back

        Login to Market Insight Account

        Your Market Insight account gives you access to the tools that we offer our customers including our
        Technical Studies & Sentiment for your accounts.

        Forgot Password?

        Don't you have a Market Insight account? With a few easy steps you can easily register to Market Insight

        Create a Market Insight's Account

        Your Market Insight account gives you access to the tools that we offer our customers including our Technical Studies & Sentiment for your accounts.

        register_ty

        Thank you!

        Welcome to Market Insight family!

        You have succesfully completed the registration.
        We will send you an e-mail to give you some
        instructions and our Terms and Conditions!
        Our account representatives will be contacting you as
        soon as possible. If you have any further questions
        please do not hesitate to mail us via info@marketinsight.com