Investing.com - The U.S. dollar was almost unchanged against its Canadian counterpart on Monday, as sentiment on the greenback remained vulnerable ahead of the Federal Reserve’s policy meeting this week, while declining oil prices limited the Canadian currency’s gains.
USD/CAD hit 1/2652 during early U.S. trade, the session low; the pair subsequently consolidated at 1.2678.
The pair was likely to find support at 1.2589, the low of April 20 and a nine-month low and resistance at 1.2799, the high of April 19.
Investors were looking ahead to the Fed’s upcoming policy meeting, due to conclude on Wednesday for further indications on the pace and timing of future rate hikes.
Meanwhile, the commodity-related Canadian dollar remained under pressure as oil prices moved lower on Monday amid profit-taking they hovered near five-month highs on Friday.
Traders were also cautious as Saudi Arabia was expected to announce a plan later Monday to diversify its economy away from oil production.
The loonie was lower against the euro, with EUR/CAD rising 0.27% to 1.4268.