USD/CAD has seen major short-covering today and has bounced to test its 10-day average after sliding below parity just a day ago. Canadian corporates have apparently been big buyers today (and those dollars will not be sold anytime soon) and specs have been scrambling to cover short positions.
Oil has given back a chunk of its recent gains today, down $1.50 while the broader CRB index is down 1.3% as the dollar regains its footing after s seemingly inexhaustible slide.
1.0180/85 is next resistance for the greenback while 1.0080 is now support. We trade now at 1.0130.
