The short term trend in the Canadian remains down even though the currency is showing some recovery capacity from this week’s initial decline. While the Canadian might see some support fromimproved economic readings from the UK and Euro zone and the cease-fire is probably beneficial to theCanadian, seeing positive US scheduled data and increased talk of rising US interest rates could quell the rallyattempt in the Canadian Dollar quickly. We still think the odds of a temporary retest of the 91.00 level are high intothe US payroll results later this week.
