Upside risks prevailed in the market on Wednesday, as a result, the US Dollar rose by 108 pips against the Canadian Dollar. The currency pair breached the weekly R1 at 1.3318 at the end of yesterday’s trading session.
Everything being equal, the exchange rate could make a brief retracement down today. The potential target for bearish traders would be bear a support cluster formed by the combination of 50–, 100– and 200– hour SMAs and the weekly pivot point at 1.3248.
If the support cluster holds, the currency exchange rate will make a reversal north during the following trading session.
