USD/CAD extends the break below 1.3000

The Canadian dollar is trading a firm note vs. its American neighbor on Thursday, sending USD/CADto post daily lows in the 1.2980 area.

USD/CAD focus on oil, US data

CAD continues to derive support from the recovery of crude oil prices, with the barrel of West Texas Intermediate approaching the psychological mark at $50.00 despite the recent build up in inventories.

With the BoC out of the way, the US docket is will come to the fore today, with Durable Goods Orders, Initial Claims, Pending Home Sales and speeches by FOMC’s Bullard and Powell.

USD/CAD significant levels 

As of writing the pair is losing 0.32% at 1.2978 and a break below 1.2942 (55-day sma) would expose 1.2913 (20-day sma) and then 1.2768 (low May 12). On the flip side, the next hurdle lines up at 1.3188 (high May 24) followed by 1.3312 (38.2% Fibo of 1.4692-1.2458) and finally 1.3365 (200-day sma).