USD/CAD turns positive post-data, near 1.3430

The greenback has recovered the smile vs. its Canadian neighbour on Tuesday, sending USD/CAD to the area of 1.3425/30, near daily highs.

USD/CAD bid after data

The pair met a bout of buying pressure after Canadian Retail Sales have expanded 0.6% on a monthly basis in September, matching prior surveys. Further data saw Sales stripping the Autos sector coming in flat vs. a forecasted 0.5% gain.

The now softer tone in crude oil prices is also removing some tailwinds from CAD, as the barrel of West Texas Intermediate has dropped to the area of daily lows in the $48.00 neighbourhood.

In the US data space, October’s Existing Home Sales are due next along with the Richmond Fed Manufacturing Index for the current month and the weekly report on US crude supplies by the API.

USD/CAD significant levels

As of writing the pair is gaining 0.04% at 1.3423 facing the next hurdle at 1.3566 (high Nov.18) followed by 1.3575 (50% Fibo of the 2016 drop) and finally 1.3590 (high Nov.14). On the other hand, a break below 1.3311 (38.2% Fibo of the 2016 drop) would expose 1.3270 (55-day sma) and finally 1.3260 (low Nov.9).

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