USD/CAD choppy, back above 1.3100

The greenback sticks to its daily gains vs. its Canadian counterpart on Friday, now taking USD/CAD back above the 1.3100 handle.

USD/CAD volatile post-US GDP

The pair has retaken the 1.3100 mark after a brief test of the 1.3090 region in the wake of disappointing US releases, which showed advanced GDP figures expecting the economy to expand at an annualized 1.9% during the fourth quarter, below the forecasted 2.2% growth.

In addition, Durable Goods Orders have also failed to meet expectations in December, contracting at a monthly 0.4%.

The bearish note around CAD is also exacerbated following declining crude oil prices, with the barrel of West Texas Intermediate down more than 1% just above the $53.00 mark.

US and Canadian yields remain on a sideline pattern in the shorter end of the curve for the time being, limiting the downside and sustaining the bounce off Thursday’s lows in the mid-1.3000s.

USD/CAD significant levels

As of writing the pair is gaining 0.17% at 1.3114 facing the next resistance at 1.3131 (high Jan.27) followed by 1.3167 (high Jan.25) and finally 1.3216 (20-day sma). On the flip side, a breach of 1.3051 (low Jan.26) would aim for 1.3016 (low Jan.17) and then 1.3002 (low Oct.19).