USDCAD is down over 100 pips this morning
On the daily chart, USDCAD has been a one way street since the 28th Dec and is looking at a six stretch of losing days.
USDCAD daily chart
A lot of traders are citing the break of the 55 dma as being a significant move and they're not far wrong as we're already seeing it becoming resistance. The drop seems to be out of the blue and certainly not tied to anything going on in oil.
It is what it is and unless the 55 dma is retaken, we're likely to see further downside. 1.3300/15 is where we should see the next main support followed by the 100 dma at 1.3245. If we do retake the 55 dma, 1.3400/10 will be the next level to watch.
