FXStreet (Edinburgh) – The Canadian dollar is resuming its upside vs. its American peer at the beginning of the week, with USD/CAD testing the area of session lows in the 1.3865/60 band.

USD/CAD down from 1.3920

Spot is extending the leg lower after post-Payrolls peaks near 1.3920, with CAD deriving support from a better tone in crude oil prices and market conditions favouring the risk-on trade.

Ahead in the session, US Labor Market Conditions Index (LMCI) is due followed by Canadian Housing Starts/Building Permits and the speech by BoC Deputy Governor T.Lane on “Monetary Policy and Financial Stability”.

USD/CAD significant levels

As of writing the pair is losing 0.35% at 1.3861 facing the next support at 1.3635 (low Feb.4) ahead of 1.3574 (100-day sma) and finally 1.3161 (200-day sma). On the other hand, a surpass of 1.3897 (55-day sma) would aim for 1.4102 (high Feb.3) and then 1.4149 (20-day sma).

The Canadian dollar is resuming its upside vs. its American peer at the beginning of the week, with USD/CAD testing the area of session lows in the 1.3865/60 band…

(Market News Provided by FXstreet)

By FXOpen