The US Dollar has been trading in a narrow ascending channel pattern against the Canadian Dollar since March 1. The narrow ascending channel has guided the currency pair towards January 24 high at 1.3360.
Given that the channel pattern is too narrow, a breakout will occur within this session. Technical indicators demonstrate that the upside momentum could continue today.
From a theoretical point of view, the currency exchange rate supposes to make a pullback towards a support level formed by the weekly pivot point at 1.3240 during the following trading session.
