The Canadian dollar retreated as August’s inflation data fell short of expectations. The rally has gained traction after the pair cleared the double top at 1.3200. Diverging moving averages on the daily chart indicates an acceleration to the upside. As the pair hovers under November 2020’s high at 1.3390, the RSI’s overbought condition may trigger some profit taking, driving the greenback lower momentarily. Buying interest could be expected around 1.3200 from the base of the bullish breakout.
