The New Zealand Dollar surged by 146 pips or 1.71% against the Canadian Dollar during this week’s trading sessions. The currency pair tested the 100– period simple moving average on August 27.
Currently, the exchange rate is trading near the upper boundary of a descending channel pattern at 0.8717.
If the channel pattern holds, bears could continue to pressure the NZD/USD pair lower during next week’s trading sessions.
However, if the currency exchange rate breaks the descending channel pattern, a surge towards the 0.8850 level could be expected in the nearest future.
