January 9, OctaFX – The biggest economic news today will be the Bank of Canada’s monetary policy meeting. This will be the first major monetary policy decision this year. The bank is expected to leave interest rates unchanged at 1.75%.
Still, traders will want to hear what the bank plans this year. This comes as the Canadian dollar continues to strengthen against the USD. Other big news expected today will be the Fed’s minutes, which will give traders insights about the bank’s thinking.
USDCAD Technical Outlook
The USDCAD has been declining as the Canadian dollar continues its strength. The USDCAD pair is now trading along the 1.3228 level, which is below the major moving averages as shown below.
The RSI remains below the oversold level of 30 while the average directional index increased sharply. With no major support in sight, the pair will likely continue falling though this could change depending on the statement by BOC.
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