1. USDCAD – 2hr chart: at THE LEVEL!
The Looney is currently near the upper bound of its 1-month range and trying to break higher. Fib Channel measured targets are on the chart. One thing we need to point out is that this consolidation/accumulation period has occurred right at the Feb 1st 2019 low of 1.3068. Price made multiple pierces below but hasn’t convincing broken thatTherefore the possibility of a ‘bear trap’ cannot be ruled out.
2. US-Canada rate differentials have been widening since early July and finally USDCAD cross rate responding