USD/CAD treading water in thin post Thanksgiving trade

USD/CAD took a breather on Friday and entered a consolidation phase, after testing levels above 1.3500 the previous day.

The US dollar lost upward momentum over the last sessions and corrected some of its recent gains versus most competitors. USD/CAD upside was capped by the 1.3535 area on Thursday, ahead of its multi-month high scored at 1.3588 last week. Having spent most of the day within a narrow range,  as activity remains subdued after Thanksgiving holiday, the pair is currently trading at 1.3490, virtually unchanged since opening.

On the data front, US wholesales inventories and goods trade balance for October are due, alongside with Markit services PMI.

USD/CAD levels to consider

In terms of technical levels, next resistances are seen at  1.3535 (Nov 24 high), 1.3564 (Nov 18 high) and 1.3589 (Nov 14 high). On the other hand, supports could be faced at 1.3441 (20-day SMA), 1.3423 (Nov 23 low), 1.3377 (Nov 22 low) and 1.3299 (50-day SMA).

To learn more about this topic, check our video analysis:

USDCAD from Tip TV Productions on Vimeo.