The US Dollar edged higher by 49 pips or 0.40% against the Canadian Dollar on Tuesday. The surge was stopped by the 50– hour simple moving average at 1.2364 during yesterday’s trading session.
If the resistance level formed by the 50– hour SMA holds, bears are likely to continue to pressure the USD/CAD exchange rate lower during the following trading session.
However, if the currency exchange rate breaks the resistance line, bullish traders might target the upper boundary of the channel pattern within this session.
