Statement to be released at 10 AM ET
The Bank of Canada will release their interest rate statement at 10 AM ET with expectations of no change in policy. Adam has put together a great preview you can read by CLICKING HERE.
Technically, looking at the 4-hour chart below the pair has been moving lower since the much better than expected employment report from last Friday. The pairs fall accelerated below lower trend lines yesterday. Oil prices rising helped with that run. That took the price to new 2016 lows and traded at the lowest level since October 2015 The price today has moved back above those broken trend lines (see chart above). They come around the 1.2790 area. A move back below will have traders looking for a break of the lows from yesterday at 1.2749. A break there opens up the downside for further slides.
ON the topside, the 1.2831-60 is key. Looking at the daily chart, that area had swing lows and highs going back to March 2015 (see chart below). A move back above that area should lead to more covering (on the failed break).
