CAD is rallying since January. Even it was able to rally ( USDCAD pair was falling) when the dollar had some pullbacks from the middle of February till the end of February.(green)
But now I see internal weakness. Price couldn't tag the lower for weeks now. Though the dollar was falling in April USDCAD was not able to fall and tag the (RED).
SO I think as now the dollar starts a real strong rally for a few weeks USDCAD will not be able to stay in this channel so it's going to break out soon - maybe next week.
Also notice the the divergence between and the price (purple) and wants to cross over
I think tomorrow FED will surprise everybody.
There will be a rate hike, or there will be a hawkish tone with a promise of a hike of the next FED meeting...
So the dollar will start to rally. USDCAD, USDJPY is heading to north, EurUsd is heading to south.