USD/CAD is trading at the lowest since October 8 as it falls for the second day.

The loonie is benefiting from a bounce in oil prices but the Fed is the major focus. All the commodity currencies are acting like they’re worried about a dovish FOMC. Bloomberg echoed some of the things in our preview by noting the Fed could focus on too-low inflation.

The Fed at 2 pm ET is the main focus today but Poloz also speaks at 4:15 pm ET in a hearing that was delayed because of the shooting last week.

If the downside continues to extend, there isn’t much support until the 55-dma at 1.1066 along with the minor uptrend since Sept.

USDCAD daily

USDCAD daily