USD/CAD lower for fifth consecutive day, what's next

USD/CAD is nearing the post-FOMC spike low

A rally in oil prices has weighed on USD/CAD today and driven the fifth consecutive day of declines. Crude settled up 4.9% today in a strong finishing rally.

The pair has only declined for six consecutive sessions twice since 2009. The most-recent time was in July 2013.

The decline in the pair has cut through minor uptrend support from the July/Aug-September lows and is now eying the Fed spike low of 1.3013, just ahead of the psychological 1.3000 level.

This will be the lowest close for USD/CAD since August 12, just before China revalued the yuan and kicked off six weeks of worries about global economic growth. The main event for CAD traders this week is the Canadian jobs report on Friday, it's expected to show 10.0K new jobs and unemployment holding at 7.0%.

Ryan Littlestone wrote about a USD/CAD trade earlier today.