USD/CAD flirts with highs as USD picks-up pace

Resurgence of USD buying in Asia sends the USD/CAD further beyond 1.35 handle to trade at the highest levels since last Friday.

USD/CAD trades above all major DMAs

Currently, the USD/CAD pair rises +0.20% to 1.3518, testing four-day highs reached previously at 1.3522. The major is on a three-day winning streak, closely tracking the renewed bullish-wave seen in the US dollar across the board.

The latest leg higher in the spot is mainly attributed to fresh buying interest seen around the greenback versus its major peers, as the bulls continue to cheer hawkish FOMC minutes coupled with above estimates US durable goods data. The USD index jumps +0.20% and hit fresh multi-year tops at 101.97 some minutes ago.

Moreover, muted trading activity seen around oil prices, also support the upmove in the USD/CAD pair. On Wednesday, the Loonie remained unperturbed by a rise in oil prices, as the upbeat sentiment around the US dollar drove markets.

The major now awaits the Canadian corporate profits data amid a quiet North American session, with the US traders away on a Thanksgiving holiday.

USD/CAD Technical Levels

To the upside, the next resistances are seen near 1.3530 (daily R1) and 1.3550 (psychological levels) and from there to 1.3590 (Nov 14 high). To the downside, immediate support might be located at 1.3475 (5-DMA) and below that at 1.3450 (20-DMA) and at 1.3420 (Nov 23 low).