Thoughts on USDCAD and the 1.4000 Level
Been watching $USDCAD this week, and that 1.4000 psychological level is certainly getting a lot of attention. We saw it poke above 1.4050 today, hitting 1.40586 before pulling back a bit. I'm curious if anyone else is seeing a potential struggle to firmly hold above 1.4000, or if this current push is indicating a more sustained move.
My read is that a solid close and continuation above 1.4000 would be a pretty clear signal for further upside, perhaps towards the 1.41 area. However, if we see a rejection around these levels, maybe dropping back below 1.4000 and failing to regain it quickly, then the recent strength could easily unwind. Just my thoughts, still trying to get a read on the market's conviction here.