The surprisingly poor Canadian employment report first thing this morning has kept the Loonie under pressure versus the crosses all day and versus the dollar this afternoon. The buck has just overcome the 61.8% retracement of the drop from 1.0870 at the end of October to 1.0593 on Wednesday.
Looks like the BOC’s repeated warnings on the strength of the Loonie offsetting the beneficial impact of the global recovery are beginning to be borne out.
USD/CAD trades now at the 1.0770 level, eying resistance at 1.0815 and 1.0853 ahead of the recent 1.0870 top. 1.0680 is solid support on pullbacks near-term.
