CAD sudden surge in strength?

[T-Raid101]

Anyone know why the CAD spiked in strength against the other currencies? Was it just a market anamoly, or are there fundamental/technical reasons for it?

[sowned69]

suddenly?

lol

[T-Raid101]

if you look right about the time of my post, USD/CAD dropped pretty drastically, curious as to why it happened.

[Drown021]

Originally Posted by T-Raid101

if you look right about the time of my post, USD/CAD dropped pretty drastically, curious as to why it happened.

That's the nature of FX.It could have been news or just a large bank selling the usd/cad.Those are the times when you don't want to be on the wrong side of a trade though.
The Canadian dollar has been gaining strength for awhile now.
I am watching to maybe take a long position here around 1.04 or under.

[wolf825]

$/CAD is oil driven very much, but news or data out can cause those kinds of spikes.. I was not trading CAD today to follow what exactly it may have been...

on a side note--CAD should move nicely overnite and into tuesday...watch that 1.0415 support for a break to test into 1.0370's and 10360's..but only briefly perhaps....and also watch if a 1.0450 break to test 1.0480 and 1.05 again potentially... could be a whippy day.

-w

[Thokiyya]

yup our canadian $ is pretty much propped by resource sector. oil/gas make up approx 50% and metals 25% of TSX capitalisation. given the run in metal and oil prices in last 5 years i wont be surprised if it reached parity with USD.