AUD/CAD rises above 0.9500 ahead of Canada’s labor market data

💡 DMK Insight

AUD/CAD’s bounce to 0.9520 is noteworthy, but here’s the catch: rising oil prices could cap its gains. The Canadian Dollar often tracks oil prices closely, and with crude showing strength, CAD’s resilience is likely to keep AUD/CAD from breaking out significantly. Traders should watch for any shifts in oil prices, as a sustained increase could push AUD/CAD back toward lower levels. On the flip side, if oil prices falter, we might see a stronger rally in AUD/CAD, especially if Australian economic data supports the Aussie. Keep an eye on the 0.9500 level; a drop below could signal a bearish trend, while a push above 0.9550 might indicate a stronger bullish sentiment. Given the current market dynamics, the next few sessions will be crucial for determining the direction of this pair.