• The USD/CAD pair declined on Thursday as Canadian dollar strengthened as oil prices rose, while domestic data showed a solid gain for the country's exports.
   
• Canada's trade deficit almost doubled to C$1.09 billion in May but in a sign of economic strength, both exports and imports reached record highs, Statistics Canada data indicated.
   
• Prices of oil, one of Canada's major exports, recovered some ground after a surprisingly upbeat picture of U.S. demand halted the previous day's steep slide, although the prospect of oversupply in 2018 prompted more analysts to cut their price forecasts.
   
• The ongoing weakness is set to continue for this pair as the resistance level at 1.3088 is likely to act as strong barrier to the bulls and bring a further decline towards lower levels.
   
• The immediate support can be seen at 1.2915, break below this level will expose the pair to next support level at 1.2846.
   
• Major resistance can be seen at 1.3088, break above this level will expose the pair towards 1.3100 levels.
  
  Resistance Levels
  
  R1: 1.3000 (50% Retracement level)
  
  R2: 1.3088 (61.8% Retracement level)
  
  R3: 1.3100 (Psychological levels)
  
  Support Levels
  
  S1: 1.2915 (38.2% Retracement level)    
  
  S2: 1.2846 (Sep 8th lows)
  
  S3: 1.2815 (23.6% Retracement level)