USD/CAD falls back below 1.3100 as oil bounces

USD/CAD extended gains into a fourth consecutive day on Monday, as commodity currencies are underperforming in an environment of risk aversion. 

USD/CAD started the week on a firm note and climbed to an 11-day peak of 1.3123 before losing momentum and pulling back a tad, with the loonie gaining some support from a comeback in oil prices. At time of writing, the pair is trading at 1.3085, still up 0.38% on the day.

USD/CAD levels to watch

As for technical levels, next  resistances line up at 1.3147 (Sep 1 high), 1.3199/1.3200 (Aug 5 high/psychological level) and 1.3252 (Jul 27 high). On the other hand, supports are seen at 1.3014 (50-day SMA), 1.2953 (100-day SMA) and 1.2909 (Sep 9 low).