March labor market data was not good at all for Canada. But we should bear in mind that the Employment Change is a very volatile indicator and that the Unemployment Rate has constantly drop all the way from 8.7% in the past 3 years. This might be just a short correction in the current trend. Trade Balance dropped to -1.0B but the leading indicator Ivey PMI came over the market expectations at 61.6, meaning that the purchasing managers interviewed are confident in the evolution of the economy.
This week the Canadian dollar was almost unchanged, from the closing price of last week to the closing price of this week was just a 2 pips fall. Next week might be a calm one, the only high impact indicator published will be Building Permits on Tuesday, expected to rise at 5.3%.
Looking on the chart of USDCAD we will observe that the 1.0100 is a key support for the current price action, and the resistance sits at 1.0235. Between this limits a consolidation might start. If one of the levels written will be broken than we might expect a movement in that direction.