Since mid-May USDCAD
has moved 600 pips and it looks like it's about to retest the recent April highs around 1.2650. As we can see the trendline
is quite steep and breaks of trendlines
with this level of steepness can be risky due to volatility
. That said, if we see a solid rejection candle of the resistance zone
in confluence with a trendline break
then we'd likely take a short position targeting the 1.2400-50 zone.