This week, BOC Meeting on Wednesday and Canada CPI are main events while we have a national election on Sunday.
Let me tell you one thing: Canada macro economy is indeed very negative : high employment rate and low hiring damage to Canada economy so BOC Meeting on Wednesday is a good change to BOC talks down Loonie. A rate cut is impossible because BOC said that there is no more rate cut this year, but a dovish tone is possible.
One more thing, Canada national election on Sunday. I think this event could some affect to Loonie. Three main parties : NDP, Liberals, and Conservative have the same chance to win the election, but in my opinion, I lean to Liberals, and as you know, Liberals love dove. Hence, Loonie losses valiue is understandable.
Look at on the chart, last Friday, USDCAD bounced from the key support ar 1.2865 also 38.2% Fib Retracement level.
This is also SMA200 level.
While I keep bullish bias for USDCAD this week, I expect this level will be the strong support where USDCAD will bounce strongly.
The level I choose is Kumo cloud , 23.6% Fib retrcacement at 1.3100
Let me tell you one thing: Canada macro economy is indeed very negative : high employment rate and low hiring damage to Canada economy so BOC Meeting on Wednesday is a good change to BOC talks down Loonie. A rate cut is impossible because BOC said that there is no more rate cut this year, but a dovish tone is possible.
One more thing, Canada national election on Sunday. I think this event could some affect to Loonie. Three main parties : NDP, Liberals, and Conservative have the same chance to win the election, but in my opinion, I lean to Liberals, and as you know, Liberals love dove. Hence, Loonie losses valiue is understandable.
Look at on the chart, last Friday, USDCAD bounced from the key support ar 1.2865 also 38.2% Fib Retracement level.
This is also SMA200 level.
While I keep bullish bias for USDCAD this week, I expect this level will be the strong support where USDCAD will bounce strongly.
The level I choose is Kumo cloud , 23.6% Fib retrcacement at 1.3100
