Post #15390

CAD Heats Up USD/CAD continues to slide and is now pushing toward the established support zone at 1.3900. This level has held twice, making it a key area to watch as downside momentum builds. Canada’s GDP absolutely crushed expectations this morning, coming in at 2.6% QoQ vs the 0.5% forecast — a major upside surprise. Stronger growth = stronger CAD, and the market reacted immediately with the loonie firming across the board. On the other side, the U.S. dollar is having its weakest week since July, pressured by rising expectations for a December Fed rate cut and thin liquidity from Thanksgiving. Rate-cut bets + softer USD macro tone = downward pressure on USD pairs. The combination of CAD strength on strong domestic data and USD weakness from rate-cut expectations sets up USD/CAD for a red finish this week. - Alan