The USD/CAD currency pair on Friday spiked to trade at a new weekly high of about 1.3529 before pulling back slightly to 1.3506. The currency pair appears to be trading within an ascending channel formation in the 60-min chart.

The pair has now rallied to trade a few levels above the 100-hour moving average line. As a result, the currency pair seems to be moving closer to the overbought levels of the 14-hour RSI.

USD/CAD Fundamentals Overview

From a fundamental perspective, the USD/CAD currency pair is trading at the back of a relatively busy period in both markets. On Friday, the US jobs data for March missed the expected tally of 240k with a job count of 236k.

On the other hand, the unemployment rate for the period edged lower to 3.5% down from 3.6% outperforming the expected rate of 3.6%, while the average hourly wage fell short of the expected (YoY) change of 4.3% with a change of 4.2%. On Thursday, the initial jobless claims for last week also missed the expected claim count of 200k with a tally of 228k, while the ADP employment change fell short of the forecasted job count of 200k with 145k.

In Canada, the March net change in employment outperformed the expectation of 12k with a tally of 34.7k, while the unemployment rate remained unchanged at 5%, beating the estimated rate of 5.1%. Elsewhere, the average hourly wage for the month grew by 5.2% (YoY) compared to a growth rate of 5.4% in the previous month.

USD/CAD Technical Analysis (the 60-min Chart)

Technically, the USD/CAD currency pair appears to be trading within an ascending channel formation in the 60-min chart. This indicates a significant short-term bullish bias in the market sentiment.

Therefore, the bulls will be looking to stretch the current gains toward 1.3529 or higher to 1.3553. On the other hand, the bears will look to pounce on pullbacks at about 1.3483 or lower at 1.3460.

USD/CAD Technical Analysis (the Daily Chart)

In the daily chart, the USD/CAD currency pair appears to be trading within a descending channel formation. This indicates a significant long-term bearish bias in the market sentiment.

Therefore, the bears will be targeting extended declines at about 1.3412 or lower at 1.3328. On the other hand, the bulls will look to pounce on profits at about 1.3581 or higher at 1.3663.