After breaking through a combined resistance set up by the weekly S2 at 1.1774 and the slipping 55-hour SMA, the currency pair lost an upside momentum provided the 100% Fibonacci retracement level at 1.1715 and started to move horizontally.
The New Zealand Dollar had been struggling to move past the weekly S1 at 0.7214 for the last two sessions.
Even though USD/CAD had failed to reach the upper channel boundary for several trading sessions, the situation changed late on Wednesday when the pair surged up to the 1.2480 mark.
The expected breakout of the short-term falling wedge did not occur during the last 24 hours, as downside risks prevailed and thus pressured the Australian Dollar southwards.
As apparent on the chart, the common European currency has remained stable against the Yen.
Although previously the pair failed to break through the 1,290.93 level, a pressure from multiple technical indicators eventually pushed it to the bottom.
Unfortunately for the Yen, the buck traders managed to push the pair through a combined resistance formed by the monthly R2 at 112.54 in conjunction with the upper trend-line of a ten month long falling wedge pattern.
Contrary to expectations, the currency exchange rate did not make any significant moves yesterday and, for this reason, stayed in a falling wedge for additional day.
Unfortunately for the Euro, a shared border of two senior descending channels did not manage to withhold the rate from falling to the south.
The breakout of the senior channel early on Tuesday was followed by a fall down to the 0.7180 mark.
As apparent from the pair's movement during the past two trading sessions, the USD/CAD exchange rate has diminished its trading range within the bounds of the ascending channel and thus failed to reach either of its boundaries.
Downside risks that pressured the rate down to the 0.7870 mark on Tuesday have prevailed in this session, as well.
EUR/JPY continued to edge lower on Tuesday until the weekly S2 was reached mid-session.
An area around the 1,313.61 mark indeed represented a sort of benchmark, which bullion traders used to try to restore previously lost positions.
One of the ideas expressed yesterday appeared to be true. The currency pair, indeed, formed a minor descending channel and after forming the second reaction low used the 200-hour SMA as a springboard to break through a combined resistance set up by the weekly PP at 111.90 in conjunction with the 55- and 100-hour SMAs.
In accordance with expectations, a combined resistance formed by the 55-, 100- and 200-hour SMAs did not let the Pound to recover against the Dollar.
As it was expected, the Dollar continued to appreciate against the Euro and reached the bottom edge of medium-term descending channel yesterday.
The NZD/USD exchange rate remained stable on Monday, being located right below the 200-hour SMA and the monthly PP for the whole trading session.
The Greenback continues to appreciate against the Canadian Dollar in a slight upside movement.
As apparent on the chart, the 55-hour SMA was guiding the Aussie for the whole trading session on Monday, thus leaving the rate slightly above the monthly PP and the 61.8% Fibo late in the evening.
Contrary to expectations, the common European currency remained stable during EBC President Draghi's speech at 1300GMT on Monday.
In result of the previous trading session, the yellow metal managed to recover not less than 1.26% against the buck.
An increasing hawkish rhetoric between the United States and North Korea led to appreciation of the Yen by 63 basis points just in three hours.
Although initially the currency pair managed to climb above the weekly PP at 1.3536 that was backed up by the 55- and 100-hour SMAs, but later it failed to strengthen this position and continue the surge.