Forex Flash: CAD faces corrective forces in coming days – BBH

Marc Chandler, Global Head of Currency Strategy at Brown Brothers Harriman notes that an upside reversal of the US dollar was seen on Thursday and follow through buying was seen before the weekend.

He writes, “The Greenback firmed to test a technical objective near CAD1.0040. If corrective forces continue to be felt in the coming days, the US dollar will likely test the last high near CAD1.01 and potential toward CAD1.0140. Owing perhaps to a disappoint Canadian jobs report before the weekend, the Euro held above Thursday's low near CAD1.3340. Initial resistance is pegged near CAD1.3450, but it may require a move through CAD1.3480 to signal the end of the brief though sharp correction.”