USD/CAD eyeing a fresh break-out above 1.3200 handle

Despite of a recovery witness in crude oil prices, the Canadian Dollar remained well offered against its US counterpart and the USD/CAD pair attempting to break through 1.3200 handle.

Currently trading at a fresh 3-day high level around 1.3190 region, the commodity-linked currency, loonie, has failed to benefit from the ongoing recovery in oil prices and is being weighed down by Friday's disappointing releases of Canadian CPI and monthly retail sales data. 

Moreover, the prevalent risk-off sentiment is extending support to the greenback's safe-haven demand and driving the major higher. Later during NA trading session, the release of new home sales data from the US would provide fresh impetus for the pair.

Technical levels to watch

On a sustained move above 1.3200 handle, the pair seems to immediately dart towards 1.3245-50 strong supply zone, which if conquered should pave way for continuation of the pair's appreciating move further towards its next major resistance near 1.3285-90 region. 

Meanwhile on the downside, 1.3155-50 area now becomes immediate support to defend below which the pair could accelerate the slide to 1.3130 intermediate support before eventually dropping to test 1.3100 handle.