FXStreet (Edinburgh) – The greenback is trading on a firmer footing at the end of the week, with USD/CAD approaching to 1.1250, or session tops.
USD/CAD attention to CAD, data
Spot has managed to leave behind multi-week troughs in the 1.2130 area on Thursday and retake the 1.2200 barrier today, advancing to session peaks around the mid-1.2200s. The pair has been retreating since Monday mainly in response to a softer tone around the dollar, intensified after the FOMC meeting on Wednesday.
Absent data releases in the US docket, traders will focus on the key inflation figures in the Canadian economy followed by retail sales results. Consensus expects headline consumer prices to have risen 0.8% on a year to May while headline retail sales are seen growing 0.7% on a monthly basis in April.
USD/CAD levels to consider
At the moment the pair is up 0.18% at 1.2245 with the next resistance at 1.2253 (low Jun.11) ahead of 1.2273 (Kijun Sen) and then 1.2279 (low Jun.12). On the flip side, a break below 1.2127 (low Jun.18) would expose 1.2072 (76.4% of 1.1920-1.2563) and finally 1.1982 (low May 15).
(Market News Provided by FXstreet)