USD/CAD (current price: 1.3045)
The Canadian Dollar still trades around the all-important support/resistance level near 1.3015, as the currency continues to closely track the movements of oil. The pair got higher on Wednesday as oil fell in early trading, but the better than expected U.S. Crude Inventories number reversed some of the early movements. The cross ended the day slightly in the green, as the long-term picture remains neutral, with the broad trading range between 1.2650 and 1.32 still being intact.
Our assessment: USD/CAD has been trending higher in recent days and a re-test of the key resistance near 1.32 might be in the cards now, especially if oil continues its correction.
