USD/CAD has shed 26 pips and last.....>

DOLLAR-CANADA: USD/CAD has shed 26 pips and last trades at C$1.3195. The rate is

weighed on by firmer oil prices, which have drawn support from declarations by

the U.S. leaders from over the weekend that Monday will see Washington announce

new sanctions on Iran. Meanwhile, the greenback sits well towards the lower end

of the G10 pile, underperformed only by the yen.

- The rate added 31 pips Friday, as worse than expected retail sales figures out

of Canada & short-covering after a fairly strong week for the loonie lent

support to the pair.

- Bears look for a breach of the lower 1.0% 10-DMA envelope at C$1.3172, which

would give them some momentum and shift their focus to the Jun 20/Feb 20 lows of

C$1.3151/50. Bulls need a return onto the C$1.3200 handle before attempting a

move at the Jun 10 low, situated at C$1.3226.

- Canadian docket for this week includes BoC Biz. Outlook & Snr Officer Loan

Surveys due Thursday, as well as domestic GDP due Friday.