The US Dollar has been trading in a junior descending channel pattern against the Canadian Dollar since the beginning of this week’s trading session. The pair tested the lower boundary of the pattern during yesterday’s trading session.
As for the near future, it is likely that the US Dollar will aim for a resistance level formed by the 50-hour simple moving average at 1.3344.
If the resistance level holds, a re-test of the bottom border of the channel pattern could be expected.
However, if the rate passes the 50-hour SMA, the next target for bullish traders will be near a resistance cluster at 1.3388.
