USD/CAD clinches highs near 1.3160, data eyed

The greenback keeps its march north unabated on Wednesday, now lifting USD/CAD to the area of daily tops in the 1.3160 region.

USD/CAD focus on data, FOMC

The pair is so far posting its fourth consecutive session with gains, challenging at the same time weekly highs near 1.3170 seen on Tuesday and always against the backdrop of a persistent USD-buying.

CAD has ignored the recent significant bull run in crude oil prices, focusing instead on the policy divergence between the Federal Reserve and the Bank of Canada, particularly via the yield spread differentials in the shorter end of the curve.

Looking ahead, Canadian Retail Sales for the month of December are next on tap followed by US Existing Home Sales and the FOMC minutes. In addition, FOMC’s J.Powell (permanent voter, neutral) is due to speak.

USD/CAD significant levels

As of writing the pair is gaining 0.12% at 1.3158 and a surpass of 1.3166 (high Feb.21) would aim for 1.3215 (high Feb.7) and finally 1.3283 (100-day sma). On the other hand, the next support aligns at 1.3097 (low Feb.21) seconded by 1.3057 (low Feb.17) and then 1.3007 (low Feb.16).