USD/CAD at 6-week highs near 1.2600

• USD/CAD  climbs to fresh 6-week highs
• Greenback fails to hold above 1.2600

USD/CAD has pushed higher on Thursday extending gains into second consecutive day as the greenback continues to outperform in the FX market.

USD/CAD rose through the 1.26 mark and peaked at 1.2612, its highest level since Dec 28,  before pulling back slightly to currently trade at 1.2583, up 0.17% on the day.  The pair is on track to post its fourth daily gain in five.

“CAD appears somewhat less vulnerable on the basis of sentiment, with risk reversals now pricing a relatively elevated premium for protection against nearterm CAD weakness,” said the Scotiabank team. 

Meanwhile, Senior Deputy Governor Wilkins was speaking at the G7 Symposium on Innovation and Inclusive Growth, but she didn’t address monetary policy. 

USD/CAD levels to consider

As for technical levels, next resistances seen at 1.2612 (intraday high),1.2660 (Dec 28 high) and 1.2695 (Dec 27 high). On the flip side, supports could be found at 1.2545 (intraday low), 1.2500 (psychological level) and 1.2483 (Feb 7 low).