USD/CAD flat for the day, up for a second consecutive week

• CAD trims daily losses despite poor employment data, falling oil.
• Trend remains bullish for USD/CAD as the pair keeps posting higher highs and lows.

The USD/CAD pair peaked at 1.2650 this Friday, its highest since late December, but shed its early gains, with the Canadian dollar strengthening despite a tepid local employment report and plummeting oil prices.

The Canadian monthly employment report showed that the economy lost 88,000 jobs in January against expectations of 10,000 new jobs, while the unemployment rate jumped to 5.9%, above the previous 5.7% and also surpassing market's expectations of 5.8%. Oil prices, in the meantime, fell to fresh early lows after the Baker Hughes report showed that US drillers add 26 new rigs to a total of 791, the highest level of active rigs in a year.

Technical outlook

The pair is currently trading around 1.2600, with little overall biased higher according to technical readings in the daily chart, as the pair keeps posting higher highs and higher lows on a daily basis ever since the week started. The daily low at 1.2559 is the immediate support ahead of the 1.2500 figure, while the mentioned high at 1.2650 is the immediate resistance, ahead of the 1.2710 price zone, where it has multiple daily lows from November last year.