The 50– hour simple moving average pressured the USD/CAD currency pair lower on Tuesday. As a result, the US Dollar declined by 55 pips or 0.44% against the Canadian Dollar.
Everything being equal, the 50– hour SMA could continue to squeeze the currency pair lower during the following trading session. The potential target for bearish traders will be near the 1.2400 level.
However, the support level at 1.2442 could still provide a barrier for sellers within Wednesday’s trading session.
