USD/CAD is attempting to break out above 1.3365 again and I think it will succeed.

USD/CAD is moving to the upside. Whether it will break out above 1.3440 remains to be seen.

The slow move north continues but it is unclear whether it will break out above the last high or it will just form a double top.

USD/CAD opened with a large gap north and did not even recover it before it continued rallying. Next target is around 1.3700, I think.

The move north continues and I think we may see it reach 1.3800 soon.

USD/CAD finally reached a resistance at 1.3995 and pulled back from it, let's see how it will develop next week.

The best long-term indicator
https://www.tradingview.com/chart/USDCA ... indicator/

One of the main economic indicators for currency valuation is the real interest rate differential between the two countries / currencies.

The large flows of fixed income always go to where there is the highest real yield, interest rate discounted from inflation . The carry trade.

It is possible to see in the USDCAD example on the graph the great correlation between the interest rate differential and the appreciation / depreciation of each currency.

Currently, this indicator does not seem to make much sense due to extremely low inflation and low interest rates in the worldwide. However, the big draw is to know where the economic recovery will be faster, will create more jobs and income, will lead to an increase in inflation and consequently to an increase in interest rates and currency appreciation.

Make your bets!

I would bet on Australia and Europe, maybe that's why the dollar is so weak.

It is testing the support at 1.3400, I think we may see it break out below that level soon.

The pair is very bearish, next target is likely at 1.3100. That said, sooner or later correction will have to start.