FXStreet (Edinburgh) - In the view of analysts at BBH, the pair could reach the 1.40 handle in the medium term. Key Quotes “The Canadian dollar fell like bricks. It lost 2.75% against the US dollar on the week. It is the biggest move since the January rate cut, which itself was the largest weekly advance since 2011. The Canadian dollar is the weakest of the majors this year, having lost about 15.4%”. “Oil prices fell sharply. The US premium over Canada rose. Equity markets fell. By noting other measures that could be taken, if necessary, the Bank of Canada may have (unintentionally?) encouraged ideas that the drop in oil prices may encourage a further easing of monetary policy”. “The US dollar is trading at levels that have not been seen in more than a decade. If resistance is to denote a potential inflection point of demand for Canadian dollars, it is difficult to see any meaningful level before CAD1.40, If trying to anticipate when Canadian businesses may interest, we note that the $0.7250 level corresponds to CAD1.38, while the $0.7000 level is almost CAD1.43. Support is seen in the CAD1.3550-CAD1.3600 band”. For more information, read our latest forex news.