The US Dollar has declined by 64 points or 0.47% against the Canadian Dollar since Friday’s trading session. The currency pair breached a support cluster at 1.3571 on Monday morning.
Everything being equal, the USD/CAD exchange rate will most likely continue to depreciate today. The potential target for bearish traders would be at the weekly S1 at 1.3511.
However, if the support cluster formed by the 50-, 100– and 200– hour SMAs at 1.3571 holds, a surge towards the upper boundary of a descending channel pattern could occur within this session.