USD/CAD Analysis: Potential breakout

Dukascopy Bank Team Dukascopy Bank SA

USD/CAD

Upside risk dominated the USD/CAD currency pair on Tuesday. As a result, the US Dollar gained about 101 base points against the Canadian Dollar during the end of yesterday's session.

The exchange rate is currently trading near the upper boundary of a one-week descending channel pattern at 1.3280 and could be set for a breakout.

If the breakout occurs, the currency exchange raw will target November 30 swing high at 1.3320.

However, if the resistance level holds, the pair could aim for a support level set by the 100– and 200-hour SMAs at 1.3245.

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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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