FXStreet (Mumbai) – USD/CAD prolongs its northward trajectory for the fifth straight session, reaching fresh six week highs at 1.2500. The pair extends gains largely as the USD bulls seem to have jumped back into bids after remaining calm during most of the European session. Moreover, weakness seen in oil prices ahead of US EIA inventory report later in the US session.

USD/CAD rises from 1.2439

Currently, the USD/CAD trades 0.37% higher at fresh six week highs of 1.2500, having previously posted session lows at 1.2439. The USD/CAD pair was boosted by renewed strength seen in the greenback ahead of the US session.

The dollar index which measures the greenback’s strength against its major peers, trades near session highs at 97.54, recording a 0.21% gain on the day.

Moreover, lower oil prices in anticipation of rising inventories levels to be reflected in the EIA weekly report also continues to dent the loonie, pushing USD/CAD higher.

Meanwhile, traders now focus on Canada’s trade data and a set of US economic data for further impact on the pair.

USD/CAD Technical Levels

To the upside, the next resistance is located at 1.2524 levels and above which it could extend gains 1.2571 levels. To the downside immediate support might be located at 1.2439 levels, below that at 1.2400.

USD/CAD prolongs its northward trajectory for the fifth straight session, reaching fresh six week highs at 1.2500. The pair extends gains largely as the USD bulls seem to have jumped back into bids after remaining calm during most of the European session. Moreover, weakness seen in oil prices ahead of US EIA inventory report later in the US session.

(Market News Provided by FXstreet)

By FXOpen