We’ve been up to 1.1196 today and through the short term support line at 1.1154. A dovish Poloz and the Canadian finance minister resigning have both sent the CAD reeling but offers at 1.1200 have held so far. There’s some fairly chunky options going off below which may attract attention with the largest at 1.1125 & 1.1150 at $1.37bn and $1.58bn apiece and we have Canadian wholesale trade at the bottom of the hour (0.8% exp from -1.4% prior).
USD/CAD daily chart 19 03 2014
1.1200 remains the big upside target and then the Jan high at 1.1223. A few pips north of there we have the 50 fib from the big 2009/2011 hi/lo at 1.1234
USD/CAD weekly chart 19 03 2014
The loonie has been on a bit of a tear the last few days doing over 170 pips but it remains to be seen whether it will make any big moves ahead of the FOMC later today.
It’s also been confirmed that as expected, Resource minister Joe Oliver has been promoted to the role of finance minister.