The US Dollar declined by 62 pips or 0.50% against the Canadian Dollar on Tuesday. The currency pair was pressured lower by the 50– hour simple moving average during yesterday’s trading session.
As for the near future, the USD/CAD exchange rate could continue to edge lower. Sellers are likely to target the 1.2390 level during the following trading session.
However, if the currency exchange rate breaks the 50– hour SMA resistance level, a surge towards the weekly pivot point at 1.2545 could be expected during the following trading session.