The USDCAD pair touched 1.2725 level and got a daily close above it, to support the chances of extending the bullish wave on the intraday and short-term basis, and we expect to head towards 1.2810 as a next target.
The Canadian dollar took it on the chin yesterday after the Bank of Canada left interest rates unchanged. USDCAD soared to 1.2645 from 1.2560 on the news.
Nevertheless, the BoC message was hawkish and warned of interest rate increases in the coming months.
Bank of Canada Governor Tiff Macklem trumpeted that his department saved the Canadian economy from the scourge of COVID-19.
Looking forward for today the US will release a number of low impact economic releases including the monthly Core PCE Price Index, Personal Spending and Revised UoM Consumer Sentiment.
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