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CAD recovers losses

FXStreet (Mumbai) - The USD/CAD has dropped to its opening rate of 1.2225, after having hit a high of 1.2279 levels earlier today as crude prices in the US recovered losses.

Supported by hourly 50-MA

The pair has managed to sustain above the hourly 50-MA located at 1.2222 levels despite the recovery in the WTI Crude futures. Earlier today, the CAD had come under pressure after the WTI futures fell to a low of USD 57.15/barrel.

However, crude prices too, have recovered to trade at largely unchanged for the day around USD 57.80/barrel. Consequently, the Canadian dollar recovered losses. The broad based weakness in the USD ahead of the US session also helped the CAD make a comeback.

USD/CAD Technical Levels

The immediate support is seen at 1.2222 (hourly 50-MA), under which losses could be extended to 1.2179. On the flip side, a break above the daily high at 1.2279 could drive the pair higher to 1.2326 (Apr. 16 high).

Specs remain divided on oil – KBC

The KBC Bank Research Team comments on the positioning in the oil markets, noting that although bullish views hit an all-time high last week, the data shows the internal division among speculators.
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