The USD/CAD pair reached and surpassed our bearish target 1.24 with a strong bearish sentiment that drove the prices all the way inside the Ichimoku cloud and the 23% Fibonacci level on Wednesday. The RSI is heading down and we are waiting to see if the pair can break below the 23% Fibo level, in which case we could see more drops towards the 38% level at 1.19.
On the economic calendar, The Australian employment change could bring volatility to the AUssie crosses on Thursday at 2:30 AM GMT, and the US dollar could see more moves on unemployment claims at 1:30 PM. Friday is also busy with UK unemployment rate at 9:30 AM GMT followed by Canada’s core retail sales at 1:30 PM and US Core CPI at the same time to end the trading week.
