Bank of Canada policy decision in the spotlight later this week- USD/CAD off earlier lows

On Friday the USD/CAD closed out the week below its 200 day moving average (now in place at 1.4007). The USD/CAD closed at 1.3876 and so as you can see, some way below that technical level. The lowest point seen earlier today was set at 1.3829 and that was the lowest level for the USD/CAD since it peaked at 1.4793 back on February 3. Hence, an almost 1000 pip fall over the course of the last two months. We have some important events facing the USD/CAD tomorrow and on Wednesday. First the latest monthly CPI data is forecast to see inflation dropping back. By how much might sway the current Bank of Canada (BOC) policy decision the following day. However, as things stand, the BOC is not expected to lower rates, from the current 2.75% level. There will be more to add on the USD/CAD, but for the time being it looks like it might be a sell on rallies ahead of that 1.4007 level. The high since the low set earlier has been reached just now, at 1.3881