The US Dollar appreciated by 39 basis points against the Canadian Dollar on Tuesday. The currency pair breached the 50– hour simple moving average during yesterday’s trading session.
Everything being equal, the USD/CAD exchange rate will likely edge up until it reaches a resistance level formed by the weekly R1 at 1.3270.
If the weekly R1 holds, a downside reversal could occur before the end of the US trading session on Wednesday.
However, if bulls break the resistance level, a surge towards a psychological resistance level at 1.3300 could be expected.
