• The USD/CAD pair rose sharply on Tuesday as oil prices declined, with the currency pair pulling back from 10-month low reached in the early Asian session.
   
• Stronger dollar and lower oil prices and sell off in stocks weighted on risk sensitive commodity currency.
   
• The pair hit low at 1.2455 before rebounding sharply to trade around 1.2705 levels in the afternoon US session.
   
• Short dip around 1.2631 should be taken as buying opportunities, as the Canadian dollar is weaker against the US dollar in intraday trading.
   
• The immediate support can be seen at 1.2687, break below this level will expose the pair to next support level at 1.2631.
   
• Major resistance can be seen at 1.2737, break above this level will expose the pair towards 1.2803 levels.
  
  Resistance Levels
  
  R1: 1.2737 (38.2% Retracement level)
  
  R2: 1.2803 (23.6% Retracement level)
  
  R3: 1.3867 (April 14th high)
  
  Support Levels
  
  S1: 1.2687 (50% Retracement level)        
  
  S2: 1.2631 (61.8% Retracement level)
  
  S3: 1.2589 (April 20th lows)