USD/CAD weaker amid recovering oil prices, CAD retail sales next

The USD/CAD pair snapped consecutive days of winning streak and traded with mildly bearish bias on Thursday, albeit has managed to hold its neck above the 1.3300 handle. 

The pair seems to have stalled its recovery move from sub-1.3200 level touched at the beginning of this week and retreated from 1-1/2 week highs near mid-1.3300s touched in the previous session.

A modest recovery in oil prices, with WTI crude oil bouncing off multi-month lows, boosted demand for the commodity-linked currency - Loonie, and was seen weighing on the major. 

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Adding to this, a subdued US Dollar price-action, amid mildly weaker tone around the US Treasury bond yields, did little to extend any support, with oil price dynamics acting as an exclusive driver of the pair's slide through European trading session on Thursday.

The pair, however, has managed to hold above a previous resistance, now turned support near the 1.3300 handle as traders await for the release of Canadian monthly retail sales and the US weekly jobless claims data for some fresh impetus.

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Technical levels to watch

Bears would be eyeing for a decisive break back through the 1.3300 handle, below which the slide could get extended towards 1.3270-65 horizontal zone ahead of 1.3240-35 support.

On the upside, sustained move above 1.3330-35 area now seems to pave way for continuation of the pair's recovery move further towards reclaiming the 1.3400 handle, with some intermediate hurdle near 1.3380 region.