Trading the Canadian is only a bit about oil, but more about the US economy: stronger demand from the United States means a strong Canadian economy and a stronger Canadian dollar.
The instant reaction from the excellent jobs report in the US was a stronger USD across the board, but after the dust settled and Americans get ready for the 4th of July BBQ, the stronger currencies are making a comeback, and the loonie is certainly one of them.
USD/CAD is now back down to 1.0638, heading towards the cycle lows after bouncing at 1.0680.
We can see here the recovery path of the Canadian dollar, as seen in a very nice downtrend of USD/CAD on the daily chart:
The next week is very important for the C$, with building permits, the Ivey PMI and most importantly the Canadian jobs report, which gets the full stage to itself.
For more, see the C$ prediction.
