The US dollar / Canadian dollar fell below 1.40 during European trading hours, but as crude oil prices fell, it made it difficult for the Canadian dollar, which is sensitive to commodities, to find demand, and the decline quickly recovered. As of press time, the currency pair rose 0.3% to 1.4032 that day.
After falling more than 7% on Tuesday, West Texas Intermediate Crude Oil (WTI) rebounded to US $ 25 / barrel on Wednesday. After the EIA released the “Weekly Petroleum Status Report”, oil prices fell and WTI fell 1.75% to 23.90 USD / barrel.
At the same time, data released by Statistics Canada showed that building permits fell by 7.2% in February, which was significantly lower than analysts ’estimates of -4.5% and increased the burden on the market.
On the other hand, weak market sentiment helps the dollar index stay above 100. Later in the day, the Federal Open Market Committee will release the minutes of the interim meeting held on March 15.
Until the US Federal Open Market Committee releases minutes of the meeting, the US will not release any important macroeconomic data, and crude oil prices are likely to continue to affect the trend of the currency pair.
Now, people will focus on whether the currency pair can take advantage of the positive trend or encounter some new supply at a higher level, because the focus now shifts to the minutes of the important Federal Open Market Committee monetary policy meeting on Wednesday.
Concerns about the New Crown Epidemic epidemic have risen again, especially after New York State (the center of the US outbreak) and the United Kingdom announced their highest daily deaths overnight. The dollar has regained a positive boost.
Support levels: 1.3911 1.3829 1.3713
Resistance levels: 1.4110 1.4226 1.4308