Sometimes the dynamic between CAD and oil is more interesting to watch than the dynamic between USD and gold. And today is just one of those days. Why? Well, prices for oil fall just like the greenback. And CAD is either going to grow because of the weak greenback or fall lower because of the falling oil price. Which one is it today? Well it seems that the weak dollar is only getting weaker and weaker as it allows all of the other currencies to grow even despite their own problems and issues inside the countries themselves.
And yes. That is exactly what is happening to USD/CAD today. Despite lowering oil prices it seems that weak USD is not something that we can overlook. While the reasons for the fall of the USD are debatable CAD is fighting for its life at this point. And it is winning the fight as USD/CAD is going lower which means that CAD is only gaining piece with traders turning to other assets in dollar’s moment of weakness.
Will we see the couple recover? Will dollar take matters into its own hands? Use trading signals to see the exact moment of recovery.