USD/CAD challenges 1.3400 resistance area

USD/CAD has pushed higher on Monday and printed fresh 7-month highs as the loonie remains under pressure amid lower oil prices and dovish hints from the BoC.

USD/CAD extended gains into a fourth consecutive day and hit its highest level since early March at 1.3396. The greenback continues to trade near highs, challenging the 1.3400 resistance area. USD/CAD was last at 1.3390, up 0.47% on the day.

Lower oil prices coupled with dovish comments from BoC continue to weigh on the loonie, with crude briefly falling below $50.00 a barrel on Monday.

USD/CAD levels to watch

In terms of technical levels, next supports are seen at 1.3324 (Oct 24 low), 1.3215 (10-day SMA) and 1.3153 (200-day SMA). On the flip side, resistances could be found at 1.3400 (psychological level), 1.3445 (Mar 9 high) and 1.3498 (Mar 2 high).