USD/CAD hits fresh 6-week lows

USD/CAD broke below the 1.3250 area and made fresh 6-week lows on Monday, with the loonie underpinned by higher oil prices.

USD/CAD dropped more than a hundred pips and hit a low of 1.3235 in recent dealings. The pair was last trading at 1.3245, still down 0.33% on the dat.

CAD has been supported by oil prices over the last sessions. WTI was up for the day, trading around $52.00 a barrel with prices on the rise ever since the OPEC announced they would cut oil output last week.

Datawise, the Bank of Canada will decide on monetary policy on Wednesday, with no press conference scheduled, while trade data on Tuesday may offer some volatility.

USD/CAD levels to watch

In terms of technical levels, immediate supports are seen at 1.3223 (Oct 21 low), 1.3200 (psychological level) and 1.3186 (100-day SMA). On the flip side, resistances could be faced 1.3324 (50-day SMA), 1.3354 (Dec 5 high) and 1.3405 (10-day SMA).

To learn more about this topic, check our video analysis:

USDCAD from Tip TV Productions on Vimeo.