USD/CAD forex technical analysis
The BOC get their heads together later on and announce their latest monetary policy decision at 15.00 gmt
There's only one piece of analysis you need to read and that comes direct from the ForexLive Canadian outpost in the wild frozen tundras of Montreal: Bank of Canada rate decision preview
Adam's pretty much nailed the levels to look for down below and the area from 1.2380-1.2345/50 looks to be a good line in the sand for any decent volatility.
USD/CAD H4 chart
Up above, the short term broken support line has been containing the upside but I don't expect it to stand for much on any decent volatility over the release. I'm more likely to be watching the higher resistance line around 1.2610 for signs of any gains petering out.
As Adam rightly points out it's not just going to be the interest rate decision that will drive prices but the prospect of what could happen over the next couple of months. I still believe that inflation falling isn't an issue for Canada and they are still at quite high levels. If oil prices and inflation take off again the BOC could very well be forced to do a quick u-turn on the last cut.
