USD/CAD upside capped by 1.30 so far

USD/CAD is posting marginal gains at the end of the week, with gains so far limited around the critical 1.3000 barrier.

USD/CAD focus on oil, US GDP

Spot is advancing for the first time since Monday as the current pullback in crude oil prices is removing some tailwinds from CAD, while the greenback manages to claw back some small gains.

Ahead in the session, crude oil dynamics are expected to remain a significant driver for the pair especially after yesterday’s break above the $50.00 mark. On the US data front, another revision of the Q1 GDP will take centre stage followed by the final print of the Reuters/Michigan index.

USD/CAD significant levels

As of writing the pair is up 0.08% at 1.2991 and a break above 1.3191 (high May 24) would open the door to 1.3312 (38.2% Fibo of 1.4692-1.2458) and finally 1.3364 (200-day sma). On the flip side, the next support aligns at 1.2935 (55-day sma) seconded by 1.2912 (high May 26) and then 1.2768 (low May 12).