The US Dollar has surged by 70 pips or 0.55% against the Canadian Dollar since Thursday’s trading session. The currency pair breached the 50– hour simple moving average at 1.2647 on Friday morning.
Currently, the exchange rate is trading near the upper line of a descending channel pattern and could be set for a breakout.
If the breakout occurs, a surge towards the weekly pivot point at 1.2729 could be expected today.
However, if the channel pattern holds, bears could continue to drive the currency exchange rate lower during the following trading session.
