USD/CAD sinks to lows on data, 1.3100 on sight

The Canadian dollar has gathered extra buying interest following today’s releases, relegating USD/CAD to daily lows near 1.3100 the figure.

USD/CAD lower post-data

Spot has quickly dropped to the vicinity of 1.3110 after Canadian GDP figures showed the economy has expanded 0.5% on a monthly basis, more than initially estimated for the month of July.

Adding to the downside, US Personal Spending has disappointed expectations in August, while Personal Income has matched forecasts, gaining 0.2% inter-month.

CAD is also deriving support after the barrel of West Texas Intermediate has trimmed earlier losses and is now looking to regain the key $48.00 mark ahead of the weekly report on US drilling activity by Baker Hughes.

USD/CAD significant levels

As of writing the pair is losing 0.24% at 1.3112 facing the next support at 1.2996 (low Sep.22) ahead of 1.2818 (low Sep.7) and then 1.2759 (low Aug.18). On the other hand a break above 1.3276 (high Sep.27) would open the door to 1.3311 (38.2% Fibo of the 2016 drop) and finally 1.3575 (50% Fibo of the 2016 drop).