1. Weak Canadian economic data
2. Further declines in oil prices?
Note the double top at $113.
RSI 5 is diverging.
MACD is diverging.
Long term Stochastics have fallen below 50%.
And now price is below both the 50 day and 200 day moving averages.
The longer term outlook for oil prices looks sluggish at best.
Hardly the driver for a strong Loonie.
The astute reader will recall forecast #5 from the post 2014 Forecast, suggesting Brent crude dropping to $99.
As a corollary, the Canadian dollar could well see the 87 - 88 cent range in US funds.
Stock market bulls be warned, the market may move higher in the very short run, but fundamentals are less than spectacular.