USD/CAD (current price: 1.3137)
Canadian Wholesale Sales were much better than expected in January, as they grew by 0.7%, compared to the consensus estimate of 0.3%. The Canadian Dollar is surprisingly weak today in early trading, despite the relative strength of oil. The broad rally in the USD pushed the pair above the 1.31 level once again. The pair is still hovering around the flat 200-day Moving Average, and it is exited a declining short-term this morning.
Our assessment: USD/CAD continues to trade in a broad neutral long-term range after bouncing higher this week. Strong support is found around 1.30, while resistance is ahead at 1.3175.
