The US Dollar declined by 327 basis points or 2.28% in value against the Canadian Dollar on Tuesday. The currency pair tested the weekly pivot point at 1.4013 during yesterday’s trading session.
The exchange rate bounced off from the weekly PP on Wednesday morning. Most likely, the USD/CAD pair will continue to edge higher. The potential target will be near the upper boundary of a descending channel pattern at 1.4300.
However, a resistance level formed by the 200– hour simple moving average at 1.4253 could provide resistance for the currency exchange rate within the following trading session.
