USD/CAD falls to 10-day low
The Canadian dollar couldn't rally on strong domestic data. It couldn't rally on a rip higher in oil prices. It couldn't rally on positive risk sentiment.
Yet somehow after two days of middling sentiment, sideways oil trading and no domestic news, the Canadian dollar is at the best levels in 10 days.
That's FX trading. It's not just news, it's flows too. The timelines don't all line up.
It's a reminder to watch the technical levels as well. USD/CAD stalled out last week right at the 38.2% retracement of the yearly range and it tested it again yesterday and couldn't break. That left a double top on the chart and if the pair can hold below 1.3140, it's a further negative signal about a pullback below 1.3000.
