USD/CAD toying with highs near 1.3200

Pablo Piovano FXStreet

The greenback remains on a firm fashion vs. its rivals this week, now lifting USD/CAD to test daily tops in the boundaries of 1.3200 the figure.

USD/CAD focus on oil, data, BoC

Spot is reverting two consecutive sessions with losses today, on its way to re-test the key 200-day sma today at 1.3214 and opening the door for potential visits to recent highs further north of the 1.3200 handle.

CAD has been so far unable to benefit from the better tone in crude oil prices, with the barrel of West Texas Intermediate flirting with the psychological mark at $50.00 following significant draws in inventories as reported by the API and EIA.

Later in the session US Initial Claims and Building Permits in Canada are only expected, ahead of the speech by Senior Deputy Governor C.Wilkins, the BoC’s Business Outlook Survey and key labour market figures in Canada and the US, all due tomorrow.

USD/CAD significant levels

As of writing the pair is up 0.17% at 1.3201 facing the next resistance at 1.3276 (high Sep.27) ahead of 1.3311 (38.2% Fibo of the 2016 drop) and finally 1.3575 (50% Fibo of the 2016 drop). On the other hand, a breach of 1.3149 (20-day sma) would open the door to 1.2996 (low Sep.22) and then 1.2818 (low Sep.7).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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