Upside risks have dominated the US Dollar against the Canadian Dollar since yesterday’s trading session. The currency pair has appreciated by 98 basis points since the previous session. A breakout occurred through the upper boundary of a descending channel pattern at 1.3220 on Tuesday.
Given that a breakout had occurred, the USD/CAD exchange rate will most likely continue to surge within the following trading hours.
However, the currency exchange rate is expected to make a brief downside retracement within this session. The potential target for bearish traders would be at the 1.3260 area.
