FXstreet.com (London) - USD/CAD has softened in early Asian trade, backed by higher oil prices. Oil rose earlier amidst tension over supply concerns between Russia and Belarus, currently trading around $81.50.

Despite the criticised move to pause parliament by the current government, recent national jobs and housing data are positive, along with local market all make Canadian Dollar a strong bet. As the seventh largest producer of oil, Canadas economy is closely linked to the price of oil, and the state benefits for a rise in oil prices.

USD/CAD currently trades at 1.0366, down 25 pips on the open. Should this trend continue ZeeTrade comments on the technical indicators: USDCAD seems to be taking retrace to jump above 1.0400 level and then after completing its retrace, make a good dip towards 1.0300 level. There is a currently a good daily as well as weekly selling level present around 1.0440 level and traders will look to sell USDCAD for a nice move towards 1.0300.