Loonie: Congrats Liberals-Trudeau. BOC Meeting next.
What I see is USDCAD boucned from 38.2% Fib Retracement at 1.2862. I think this is a real bounce, not a short term squeeze.
I send a congrats to Liberals and Justin Trudeau won Federal Election.
Remember that Liberals is very dovish, and I will not surprised if BOC is more dovish tomorrow.
Tomorrow, the main focus is BOC Meeting.
A rate cut is impossible when current rate : 0.5% is too low, BOC cut rate two times this year, and I don't expect one more rate cut.
However, I think BOC would support economic plan of Liberals, they need to deappreciate Loonie to enhance Canada economy.
A more dovish tone is likely.
Canada economy is not indeed negative recently : low GDP and high employment rate, so I think BOC couldn't keep silent tomorrow.
I maintain my view USDCAD will extend to 1.3100.
I send a congrats to Liberals and Justin Trudeau won Federal Election.
Remember that Liberals is very dovish, and I will not surprised if BOC is more dovish tomorrow.
Tomorrow, the main focus is BOC Meeting.
A rate cut is impossible when current rate : 0.5% is too low, BOC cut rate two times this year, and I don't expect one more rate cut.
However, I think BOC would support economic plan of Liberals, they need to deappreciate Loonie to enhance Canada economy.
A more dovish tone is likely.
Canada economy is not indeed negative recently : low GDP and high employment rate, so I think BOC couldn't keep silent tomorrow.
I maintain my view USDCAD will extend to 1.3100.