USD/CAD sidelined around 1.3200 ahead of data, FOMC

The greenback keeps the consolidative theme vs. its Canadian peer today, with USD/CAD meandering around the 1.3200 handle.

USD/CAD looks to FOMC for direction

The pair is posting marginal gains after reaching fresh 4-month peaks near 1.3250 on Tuesday, all against the backdrop of swelling cautiousness ahead of the FOMC meeting later in the NA session.

In the meantime, crude oil prices remain under pressure albeit the ongoing leg lower seems to have eased its pace, sending the barrel of West Texas Intermediate to sub-$43.00 levels, or 3-month lows.

Prior to the FOMC gathering, US Durable Goods Orders and Pending Home Sales will try to extend the positive momentum in the US docket, ahead of the EIA’s weekly report on crude inventories.

USD/CAD significant levels

As of writing the pair is advancing 0.02% at 1.3190 and a breakout of 1.3244 (high Jul.26) would target 1.3311 (38.2% Fibo of the 2016 down move) en route to 1.3575 (50% Fibo of the 2016 down move). On the flip side, the initial support is located at 1.2858 (low Jul.14) followed by 1.2827 (low Jul.4) and finally 1.2674 (low Jun.23).