USD/CAD trades at multi-week lows near 1.3350 ahead of US & Canada employment data

• WTI clings to small gains above $53.
• Unemployment rate is expected to stay unchanged at 5.7% in Canada. 
• US Dollar Index stays calm above 97 ahead of NFP data. 

The USD/CAD pair lost nearly 70 pips on Thursday and extended its slide today to touch its lowest level since late April at 1.3343. With the trading action turning subdued ahead of today's critical macroeconomic data releases, the pair is little changed above 1.3350.

The unemployment rate in Canada is expected to stay unchanged at 5.7% with the net change in employment dropping to 8K from 106.5K. On the other hand, following April's impressive 263K increase, the NFP in the U.S. is seen edging lower to 185K. Investors will also be paying close attention to wage inflation data.

"The wage growth figures will be in focus as many FOMC members have opened up for a change in the policy rate during the past days," Danske Bank analysts said previewing the employment report. Ahead of the data, the US Dollar Index is moving sideways above 97.

Meanwhile, the barrel of West Texas Intermediate, which gained 2.7% on Thursday to help the commodity-sensitive loonie outperform its rivals, is clinging to modest gains above the $53 mark today, helping the CAD stay resilient against the buck.

Technical levels to watch for