The US Dollar declined by 117 basis points or 0.91% against the Canadian Dollar on Thursday. The 50– and 100– hour SMAs pressured the currency pair lower during yesterday’s trading session.
Everything being equal, the exchange rate is likely to continue to edge lower within the following trading session. A breakout through the lower boundary of a descending channel pattern could occur.
However, if the channel pattern holds, bullish traders might drive the currency exchange rate higher towards the 200– hour simple moving average at 1.2846 within this session.
