Commodity Currencies Test Key Levels Ahead of Major Macro Data

Commodity-linked FX pairs are trading cautiously as markets await Australia’s CPI and the Bank of Canada rate decision. AUD/USD is testing a yearly high near 0.7220 — a significant supply zone — with a strong CPI print potentially triggering a breakout and weaker data risking a pullback to the 0.7100–0.7180 area. USD/CAD has lost recent upside momentum after failing to hold above 1.3700, finding support at 1.3600; a sustained break below 1.3600 could expose 1.3540–1.3520, while a decisive move above 1.3700 would invalidate the bearish case. Overall, the market is in a wait-and-see mode where macro releases (Australia CPI, BoC decision and press conference, and US data) will determine whether commodity currencies continue trending or revert to range-bound action — with direct implications for AUDCAD and other AUD/CAD crosses.