USD/CAD advances to session tops above 1.3200

The greenback is picking up further pace vs. its Canadian peer today, prompting USD/CAD to retake the 1.3200 handle and above.

USD/CAD focus on US releases

After a brief test of the 1.3180 area during overnight trade, the pair has managed to regain the key barrier at 1.3200 and advance to daily peaks in the 1.3220/25 band, recovering part of yesterday’s important retracement.

The bid tone around crude oil prices keeps lending support to CAD and thus limiting the downside in a context where the buck is now advancing vs. its main rivals. The barrel of West Texas Intermediate is up smalls albeit below the $51.00 mark after the API reported on Thursday an unexpected build up of nearly 5 million barrels during last week.

Later in the NA session, US Retail Sales and Producer Prices are due ahead of the advanced measure of the Consumer Sentiment by the Reuters/Michigan Index. In addition Boston Fed E.Rosengren (voter, dovish) and Chair J.Yellen are due to speak at the Boston Fed Conference.

USD/CAD significant levels

As of writing the pair is advancing 0.11% at 1.3206 facing the next hurdle at 1.3314 (high Oct.7) followed by 1.3575 (50% Fibo of the 2016 drop) and finally 1.3839 (61.8% Fibo of the 2016 drop). On the other hand, a breach of 1.3179 (20-day sma) would open the door to 1.3135 (low Oct.10) and then 1.3074 (55-day sma).