USD/CAD takes back losses as oil resumes fall

USD/CAD bounced from lows and took back most of its intraday losses as the loonie, and other commodity currencies, came under renewed pressure alongside oil prices.

USD/CAD failed to break below the 1.30 mark and rebounded instead from a low scored at 1.3004, recovering almost a hundred pips over the last hours. At time of writing, the pair is trading at  1.3095, still 0.20% below its opening price.

WTI has extended weakness on Tuesday, falling below $40.00 a barrel to its lowest level since April in the $39.50 zone amid global glut concerns and demand uncertainty.

USD/CAD technical levels

In terms of technical levels, next resistances are seen at 1.3140 (Aug 2 high), 1.3185 (Jul 29 high) and 1.3253 (Jul 27 high). On the flip side, supports could be found at 1.3004/00 (Aug 2 low/Jul 29 low/psychological level), 1.2971 (50-day SMA) and 1.2945 (100-day SMA).