USD/CAD stabilizes around 1.2150

FXStreet (Edinburgh) - The greenback continues to lose ground vs. its Canadian counterpart on Thursday, now dragging USD/CAD to fresh lows in the mid-1.2100s.

USD/CAD attention to US releases

The pair is retreating since Monday and currently trading in 4-week troughs following the increasing offered tone in the US dollar in response to the dovish perception by market participants of yesterday’s FOMC statement and Yellen’s comments.

Spot will remain under pressure however, in light of the US data due later, with inflation figures tracked by the CPI, Initial Claims and the regional manufacturing gauge by the Philly Fed Survey.

USD/CAD key levels

At the moment the pair is down 0.56% at 1.2158 with the next support at 1.2130 (low May 19) ahead of 1.1982 (low May 15) and finally 1.1920 (low May 14). On the flip side, a break above 1.2238 (high Jun.18) would aim for 1.2242 (Kijun Sen) and then 1.2253 (low Jun.11).

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