USD/CAD finds support around 1.3360 on ADP

USD/CAD seems to have found some decent support around the 1.3360 region today, now looking to regain the 1.3375/80 band.

USD/CAD weaker post-ADP, focus on EIA, FOMC

The pair is retreating for the second consecutive session so far on Wednesday, coming down after being rejected from recent multi-month peaks beyond 1.3400 the figure.

The persistent weakness in the greenback remains unabated after the US ADP report showed the private sector has added 147K jobs during last month, missing estimates and falling from September’s 202K (revised from 154K).

Somehow limiting the upside, crude oil prices are intensifying its decline today, dragging the West Texas Intermediate to the vicinity of the $46.00 handle per barrel and thus weighing on CAD. The downside pressure around WTI has intensified after the API reported on Tuesday the biggest build in crude supplies since March, up by more than 9 million barrels.

Later in the session, the weekly report on crude inventories by the EIA is due followed by the FOMC meeting. On the Canadian side, Senior Deputy Governor C.Wilkins will give panel remarks on “Innovative Oversight in the Midst of Disruption.”

USD/CAD significant levels

As of writing the pair is losing 0.20% at 1.3363 with the next support at 1.3273 (20-day sma) ahead of 1.3095 (200-day sma) and then 1.3002 (low Oct.19). On the upside, a breakout of 1.3433 (high Oct.28) would open the door to 1.3575 (50% Fibo of the 2016 drop) and finally 1.3839 (61.8% Fibo of the 2016 drop).