The Canadian dollar is the best performer today as the loonie shakes off the weak jobs report on Friday.
The soft jobs report boosted USD/CAD to 1.0984 from 1.0914 but there was no serious test of 1.10. The pair didn’t even take out last Tuesday’s high of 1.0986.
You have to ask yourself: If USD/CAD can’t take out 1.10 on a terrible Canadian jobs report, what will it take? At the same time, the US dollar has already been on a broad, extended run so perhaps it’s time for a pullback. The market usually does whatever hurts the most people and very few are looking for USD/CAD weakness.
USDCAD daily
That said, if 1.10 breaks this pair will almost certainly break higher toward at test of 1.12.
