Commentary: After briefly trading above 1.0666, the USDCAD has come off again. One possibility is that the rally from 1.0470 completed an expanded flat correction from 1.0531. However, the longer term charts (we are showing the weekly today) indicate that a significant bottom may be in place at 1.0340.
A rally above 1.0676 most likely leads to a break above 1.0866. Short term, there is a possible head and shoulders continuation pattern, which is bearish. This pattern would suggest a retest of 1.0340 is in order before a reversal occurs. Strategy: Flat