USD/CAD slumps to 1.3070 ahead of US data

The greenback keeps the bearish note on Tuesday, now relegating USD/CAD to test session lows near 1.3070.

USD/CAD lower on oil, USD

Spot met extra downside pressure amidst the prevailing offered bias around the greenback after the BoJ has disappointed markets expectations of additional easing (or at least different easing measures).

Furthermore, the barrel of West Texas Intermediate has managed to rebound from multi-month lows in levels sub-$40.00, lending extra legs to CAD and in turn collaborating with the pair’s downside.

Later in the NA session, US PCE and Personal Income/Spending are due along with Canadian Manufacturing PMI measured by RBC.

USD/CAD significant levels

As of writing the pair is losing 0.32% at 1.3083 and a breakdown of 1.2998 (low Jul.29) would open the door to 1.2983 (55-day sma) and finally 1.2858 (low Jul.14). on the other hand, the next up barrier lines up at 1.3253 (high Jul.27) followed by 1.3314 (200-day sma) and then 1.3575 (50% Fibo of the 2016 down move).