The US Dollar depreciated about 54 base points against the Canadian Dollar on Monday. The currency pair tested the lower boundary of a junior ascending channel pattern at 1.3390 during yesterday’s trading session.
A breakout through the lower boundary of the junior ascending channel pattern could be expected within this session.
If this breakout occurs, the next target for bears will be at the 200-hour simple moving average at 1.3348.
However, a support cluster formed by the 100-hour simple moving average and the weekly pivot point could provide support for the pair today.