The Canadian has managed to rise consistently against the headwinds of a strong Dollar and that gives credence to the talk of a major bottoming. Hotter inflation readings have suggested that the BOC might have to act sooner than might have been expected several weeks ago and therefore the trade will be very interested in the upcoming Canadian GDP report that is expected to show growth to be around +2.3%. We continue to think that a multiple long call option and short futures strategy is the best way to play for a longer term bottom in the Canadian Dollar.
