The USD/CAD pair trimmed a part of its early strong gains
and retreated around 150 pips from to 34-months, albeit has just managed to hold above the 1.3600 marks.
The pair opened with a bullish gap and subsequently surged to its highest level since early May 2017 – levels just above mid-1.3700s – on the first day of a new trading week amid crashing oil prices.
In fact, oil prices nosedived more than 30% on Monday and recorded the biggest single-day rout since the first Gulf was in reaction to a possible full-blown price war between Saudi Arabia and Russia. Saudi Arabia slashed its official selling prices and made plans to ramp up crude output next month after Russia refrained from making a further steep output cut proposed by the OPEC+ alliance.