EURCAD after Lagarde's remarks – anyone else seeing a pattern?
Been watching $EURCAD closely this past week, especially after Lagarde's recent comments out of the ECB. The general tone, while not outright dovish, certainly didn't lean towards aggressive tightening, which seems to be having a subtle but persistent effect on euro strength across various pairs. I'm seeing $EURCAD around 1.60656 right now, after a day that's seen it test a range between 1.60575 and 1.60876.
I'm curious if others are interpretating this as a continuation of that 'higher for longer' sentiment, but with less urgency on the pace of hikes. For CAD, obviously, oil prices play a huge role, but the current stability there isn't really providing a strong directional push. It feels like the ECB's subtle shift in tone might be allowing CAD to firm up a bit more against the EUR than it would otherwise. Are you looking at any key levels on this pair for a potential move, or just letting it ride for now?
It's hard to isolate Lagarde's remarks as the sole driver for EURCAD. There are always multiple factors at play, including oil prices and broader USD strength, that could be influencing that pair. Are you factoring those in, or just focusing on the ECB's impact?