Two months ago, the USD/CAD pair rose steeply approaching the key resistance level of the ascending channel around 1.0530 as depicted in the chart. This happened when the pair established a consolidation range between 1.0450-1.0560 that expressed a false bullish breakout above 1.0555, which was followed by intensive bearish pressure that led to the breakdown of 1.0450 and 1.0380 with a record low of 1.0254.
As depicted in the chart, a prominent bottom was established around 1.0260. Since then, the pair has been bullish.
The bulls managed to break above 1.0460. That is why the price level of 1.0505 has been visited quickly.
Important level is located around 1.0505 (a previous mid-range). This was the key level for last week's movement as re-closure below it enabled the pair to reach 1.0455, where the lower limit of the depicted consolidation range is located.
The price level around 1.0455 remains the nearest considerable resistance for the pair, a valid SELL entry is recommended at retesting with SL located above 1.0500.
The nearst support zone is located around 1.0355-1.0345, where bullish pressure may be applied to push the pair again towards 1.0450.
