USD/CAD trims losses near 1.3100, oil, USD on sight

The Canadian Dollar is trading on a firmer note on Monday, prompting USD/CAD to navigate within a rangebound theme below the 1.3100 handle.

USD/CAD focus on oil, risk

Spot has failed to extend the recent breakout of the 1.3100 mark seen last Friday, although it has so far managed to revert part of the initial negative tone and trade closer to 1.3100 following the opening bell in Euroland.

In the meantime, CAD keeps struggling between crude oil dynamics and the Fed-BoC policy divergence when comes to pick a driver for the price action, while speculative positioning showed net longs have climbed to the highest level since early September on the week to February 14, according to the latest CFTC report.

Data wise today, Canadian Wholesale Sales are only due later today amidst an expected drain of activity following Canadian Family Day holiday and US Presidents’ Day holiday.

USD/CAD significant levels

As of writing the pair is losing 0.02% at 1.3092 facing the next support at 1.3007 (low Feb.16) seconded by 1.2977 (low Feb.2) and then 1.2967 (low Jan.31). On the other hand, a surpass of 1.3127 (high Feb.17) would aim for 1.3146 (200-day sma) and finally 1.3215 (high Feb.7).