USD/CAD trades in the 1.0460s after very poor retail sales killed the earlier CAD rally predicated on stronger than expected European growth. If Europe doesn’t fall off the map, the US might not either, the theory went, but that was blown all to hell by the retail figures. The odds of a BOC rate hike next time around are now that much lower.
1.0500/05 is solid resistance with stops perched just above from short-term specs. Modest resistance is seen at 1.0530 with better at 1.0570.
