USDCAD gets a better data and weaker USD shove lower

USDCAD cracks lower

The USDCAD has the combination of better data (CPI and retail sales) and a weaker dollar on the back of Trump and Bullard comments.

Technically, the pair has cracked below swing levels in the 1.32078-18 area, the 100 hour MA at 1.3195, the 200 hour MA at 1.31776, 50% and 61.8% retracement.

Swing lows in the 1.3107-11 area is the next downside target. The pair bottomed on Monday and Tuesday in that area (see red circle 5 and 6). The price tumbled below that level back on July 11 on the back of the BOC tightening (more hawkish hike), but that run was quickly reversed. It also fell below on July 6th and July 9th. Watch the area as a potential stall point (bullish above/bearish below).