USD/CAD in narrow range above 1.2100

FXStreet (Edinburgh) - The greenback is markedly lower vs. its Canadian counterpart at the end of the NA session on Monday, taking USD/CAD to the low-1.2100s so far.

USD/CAD down from 1.2180

Spot is now looking to stabilize in a narrow 1.2100-1.2120 range after reaching session tops beyond 1.2180 in early trade. The initial upbeat tone in the US dollar has proven to be ephemeral, as CAD quickly reverted the negative start and managed to drag the pair to as low as 1.2090/85.

In the data front, US Factory Orders surprised investors to the upside, although it did little ti curb the offered tone prevailing around the pair. Ahead in the week, US Services PMI by Markit and the ISM Non-Manufacturing will be in the limelight tomorrow, while trade balance figures and the speech by BoC C.Wilkins will be the main highlights in Canada.

USD/CAD levels to consider

As of writing the pair is down 0.37% at 1.2112 with the immediate support at 1.2089 (low May 4) ahead of 1.2064 (low May 1) and finally 1.2000 (psychological level). On the upside, a breakout of 1.2205 (high Apr.27) would open the door to 1.2269 (high Apr.23) and then 1.2287 (high Apr.22).