USDCAD hanging near highs as Crude oil tests $40 per barrel

Tests $40/down 3.63%. Have not been this low since April. but

Crude oil is trading down 3.63% and that is keeping the USDCAD supported in trading today.  The price of the active contract is at $40.08 currently.  Correction....the price just dipped below the $40 level. This is the 1st time the price has traded this low since April.

Looking at the hourly chart the price has moved above the 38.2% of Friday tumble. That level comes in at 1.30957. The high for the day extended up to 1.3112. It is currently trading at 1.3100.  A continued move higher will next target the 200 and 100 hour MAs at the 1.3132 and 1.3139 (blue and green lines). On Thursday last week, the price stalled at the 200 hour MA. ON Friday, the price broke below the MA line and tumbled. I would expect that sellers would line up on a retest.  Keep the level in mind.

Close risk is a move back below 1.3095 for an extended time period.  If a dip buyer, the 1.3065 level (100 bar MA on the 4-hour chart) looks like decent support. Today the price in the Asian Pacific session stalled against the level. Later in the London session, the price broke above and found support buyers against the MA line.