Hugely Important Trading Plans | BOC Rate DecisionEver since the BOC has undertaken a quicker easing cycle (and signalled more of it) we have seen a lot of CAD shorts come into play.
Removing investment from CAD due to lower ROI is a direct cause of easing, and easing quickly.
Largely expected that another cut comes today at a 50 BPS consensus. It remains yet to be seen whether this cycle is too fast.
The FED has also undertaken a reasonable cutting pace, but latest data and rhetoric around it suggests a slower, more careful easing (hence the late rises in USD value, see DXY).
May be slight room to go higher, although USDCAD sits at key rejection areas, last hits going further into them.
Would not be surprised if this continues based on recent price action to the upside.
Awaiting rejection at these key levels before further entry short.
