USD/CAD retreats from 1.3900, focus on oil

The Canadian dollar has reclaiming some ground lost to the greenback, dragging USD/CAD back to the 1.3870 area.

USD/CAD attention to oil, US data

The pair has deflated to the 1.3870 area after briefly testing fresh daily highs in the 1.3900 neighbourhood, all against a cautious tone in crude oil prices ahead of the OPEC meeting in Iran and with the oil production on top of the agenda.

Quite interesting day ahead for the pair on the data front, as US Industrial Production, Capacity Utilization, Housing Starts and Building Permits are due later in the NA session, all followed by the FOMC minutes.

USD/CAD significant levels

As of writing the pair is down 0.10% at 1.3870 facing the immediate support at 1.3635 (low Feb.4) ahead of 1.3607 (100-day sma) and finally 1.3216 (200-day sma). On the other hand, a breakout of 1.3970 (20-day sma) would expose 1.4040 (38.2% Fibo of YTD down move) and then 1.4327 (high Jan.26).

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