The price of the USDCAD moves takes out old week highs
The USDCAD continues to move higher and higher. The BOC is out saying that they are ready to adjust policy further, and deploy other market tools.
Looking at the weekly chart, the price today has moved above the swing high from the Feb 7, 2016 high at 1.40146, and above the January 31, 2016 high at 1.41013. The high for the day has reached 1.41659 so far. The close risk is now up to the 1.4100 level. Stay above is more bullish.
Drilling to the hourly chart below, the price is now above a topside trend line at 1.4109 currently. That too gives a support target in the short term for the pair. A lower trend line from the low yesterday and today comes in at 1.4044 (and rising). It too will be a risk defining level for traders going forward...
In addition to the expansionary policy that will likely continue as a result of the coronavirus, the price of oil continues to weigh on the loonie. Although the WTI crude is currently up marginally (up $0.18), the risk remains the downside as Saudi Arabia (and others) continue to produce (see Adam's posts here and here).
