USD/CAD analysis: Breakout could occur

Dukascopy Bank Team Dukascopy Bank SA

USD/CAD

The USD/CAD currency pair bounced off a support level at 1.2293 on Thursday. As a result, the US Dollar edged higher by 82 pips or 0.67% against the Canadian Dollar during Thursday's trading session.

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 1.2400 level during the following trading session.

However, if the channel pattern holds, bearish traders could drive the currency exchange rate lower today.

Author

Dukascopy Bank Team

Dukascopy Bank SA

Dukascopy Bank stands as an innovative Swiss online banking institution, with its headquarters situated in Geneva, Switzerland.

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