USD/CAD touches a low of 1.3446 on the day
Oil is up by just over 2% on the day now and that's helping to keep the loonie bid on the session as we begin the day. USD/CAD is down by ~0.3% currently as the greenback itself is also seen a little weaker across the board.
For USD/CAD, price is now leaning against the resistance-turned-support from the 6 December high @ 1.3445. Beyond that, further support is then seen @ 1.3384 before the upwards trendline since the start of October comes into play.
The trendline support for me is the key support level to look out for as that will ultimately make or break the upside momentum seen in the pair over the past few months. If that gives way, the retracement seen now will start to turn towards a downside extension instead.
Today is going to be a messy day for USD/CAD as there's a host of risk events to muddy the trading picture as we'll have the US non-farm payrolls report, Canadian jobs report and Fed chair Powell's speech to come later in the day. Aside from the direct impact of those events, the impact they have on risk and oil will also feed into sentiment towards the loonie as well.
So, be mindful of that if you're trading the pair up until 1330 GMT.