CAD: USD/CAD, CAD/JPY Approaching Key Levels

USD/CAD is plumbing a new daily low in recent trade, with the pair pressured through to new weekly lows - narrowing the gap with 1.3540, the mid-June low and key support.

• CAD has now overtaken GBP as the strongest performing currency on the day, with the post-NFP USD strength now all but abated on the less-favourable details in the employment report and pressure via the spread in the US-CA front-end.
• Moves come despite softer crude prices, as better equity futures prices become the more primary driver. USD/CAD through 1.3540 opens the lowest levels since early October last year, and would mark a resumption of the downtrend posted off the YTD high.
• While Nonfarm payrolls were unusually early this month, the Canadian jobs data is unusually late: not due until July 11th. Headed toward next week's data, CAD/JPY is in focus after today's bullish break. Price has rallied and looks set to close above the 106.58 200-dma, and a rally above 107.34 would be technically significant and firm the nascent uptrend in the cross.