Reason for trading strategy:
USDCAD is testing its resistance at 1.2927 (61.8% , horizontal overlap resistance) where we expect to see a reversal, causing price to fall to its support at 1.2759 (38.2% , horizontal overlap support). We do have to be cautious of the intermediate support at 1.2818 (23.6% , horizontal overlap support).
(34, 5, 3) is approaching resistance at 96% where a corresponding reversal is expected. We have also identified a divergence with price which contributes to our bias.