Canadian Dollar futures rallied amid Bank of Canada expectations.

December Canadian Dollar futures have rallied in two of the last three sessions, forming a double bottom basing pattern since the cycle low on August 22nd, moving 0.84% higher. A daily close above the August 29th high of 7320.5 would trigger a pattern that could take the market to the July 23rd highs. Canadian month-over-month wholesale sales for July came in weaker than expected at 1.2%. The weaker data fits with recent economic trends, strengthening the expectation that the Bank of Canada will cut rates by 25 basis points to 2.5%. The market also expects a dovish statement from the committee, which will likely emphasize gradual easing to support growth. The key event going forward will be the Bank of Canada statement compared to the FOMC decision on the same day.