The Canadian dollar continues to retreat across the board as markets anticipate an increasingly dovish attitude from the Bank of Canada. The loonie fell to its 5-week low on the concern that high interest rate would become a huge burden for housing debts, which would in turn depress consumption. Traders believe that the central bank will have little choice but to cut before the end of the year.
On the technical side, the price has surged above the 1.3330 daily resistance. An extended rally could send to price to above 1.34. The 1.33 psychological level is a key support on the downside.