USD/CAD sits near multi-week tops, comfortably above 1.3200 handle

Bulls took a breather after Friday’s softer Canadian jobs-led strong move up.
A subdued USD demand capped gains; weaker Oil prices remain supportive.

Haresh Menghani FXStreet

The USD/CAD pair was seen oscillating in a narrow trading band through the early European session on Monday and consolidated Friday's goodish up-move to near four-week tops.

The pair on Friday got the required momentum and finally broke through the 100-day SMA barrier near the 1.3200 handle on Friday after data released from Canada showed that the number of employed people unexpectedly declined by 1.8K in October.

Traders turn cautious amid US/Canadian bank holiday

Adding to the softer Canadian jobs report, the US Dollar bullish run to multi-week tops, further underpinned by the recent upsurge in the US Treasury bond yields, provided an additional boost and lifted the pair to the 1.3235-40 region – its highest level since mid-October.

Bulls took some breather at the start of a new trading week amid a subdued USD price action. However, some follow-through weakness in Crude Oil prices continued weighing on the commodity-linked currency – Loonie and helped limit the downside.

Meanwhile, investors also seemed reluctant to place any aggressive bets, rather preferred to wait on the sidelines amid bank holidays in the US and Canada, which might further lead to a subdued/range-bound price action through the first day of a new trading week.

Moving ahead, this week's other US economic releases, including the latest consumer inflation figures and monthly retail sales data, along with the Fed Chair Jerome Powell's two-day testimony on Wednesday and Thursday will now be looked upon for a fresh directional impetus.

Technical levels to watch

USD/CAD

Overview
Today last price	1.3228
Today Daily Change	0.0000
Today Daily Change %	0.00
Today daily open	1.3228

Trends
Daily SMA20	1.3139
Daily SMA50	1.3211
Daily SMA100	1.3196
Daily SMA200	1.3276

Levels
Previous Daily High	1.3238
Previous Daily Low	1.3168
Previous Weekly High	1.3238
Previous Weekly Low	1.3114
Previous Monthly High	1.3349
Previous Monthly Low	1.3042
Daily Fibonacci 38.2%	1.3211
Daily Fibonacci 61.8%	1.3195
Daily Pivot Point S1	1.3185
Daily Pivot Point S2	1.3141
Daily Pivot Point S3	1.3114
Daily Pivot Point R1	1.3256
Daily Pivot Point R2	1.3282
Daily Pivot Point R3	1.3326

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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