The current crude oil correction kept on weighing on CAD. Besides, the BoC dovish comments last week weakened near-term Canadian dollar perspectives.
Current situation
The USD/CAD bullish perspective remained intact on Thursday. The pair stayed almost unchanged around 1.3400 which appeared to be a critical barrier for the pair. The price slightly moved lower ahead of the NY opening. The USD/CAD stayed above the moving averages with a bullish 50-EMA providing support for the price in the 1 hour chart. The pair seems to be struggling with the 50-EMA to move lower now. All moving averages (50, 100 and 200) are pointing higher in the mentioned time frame. The resistance is at 1.3400, the support can be found at 1.3330.
The MACD indicator continues consolidating within overbought levels. RSI stuck within overvalued area.
Trading recommendations
A break above 1.3400 will allow the dollar to extend its gains towards 1.3470. A break below 1.3330 should send this market looking for the 1.3250 level.