A combination of strong U.S. economic fundamentals and mixed signals from European Central Bank officials with regard to the likelihood of intervention, paved the way for the dollar to extend this week's rally.

Jesus. Good thing he’s not a traffic cop, because he’s sending enough mixed signals to cause a ten-car pileup.

The U.S. economy is firing on all cylinders, and the moves can't be matched by the European Central Bank.

The Canadian dollar is oversold. The economic fundamentals are still strong, which enticed investors back to the Canadian dollar.

These are the sort of numbers that should give extra leverage to the ECB (European Central Bank) to keep pressing rates higher, but we still believe the benign inflation picture will force them to adopt a softly, softly approach to tightening this year.

Now, with the economic recovery appearing to be somewhat in place and the central bank not lowering rates, we see people trying to get in at the gates before rates start to rise.