USD/CAD stays below hourly 50-MA amid oil rally

Oil rally in Asia for the second straight day ensured the USD/CAD pair stayed below hourly 50-MA level of 1.3053.

Rejected at 100-DMA

Despite the Brexit turmoil and the resulting demand for the US safe haven treasuries the pair failed for last three trading sessions to take out daily 100-MA resistance on day end closing basis.

The spot currently trades around 1.3027 after having clocked a high of 1.3042. The pair remains at the mercy of oil markets ahead of the US personal income and spending report release.

USD/CAD Technical Levels

The immediate hurdle at 1.3067 (100-DMA) if taken out would open doors for a rise to 1.3120 (Monday’s high). A break higher could yield 1.3188 (May 24 high). On the other hand, a break below 1.30 would expose 1.2973 (5-DMA), under which a major support is seen at 1.2877 (50-DMA)