Since June 4, the USD/CAD pair movement is maintained within the mid-term slightly bearish depicted channel with its upper limit located around 1.0255.
Fibonacci level 50% is located at the price level of 1.0120 (S1) and 61.8% is located at 1.0045 (S2) which are considered to be strong Support levels also corresponding to the lower limit of the bearish channel depicted on the chart.
During the last week, USD/CAD has been trapped within a narrow ranged price zone between 1.0170 -1.0230, the upper limit of which prevented further upside movement of the pair showing bearish price action which pushed the pair to the downside breaking down the lower limit of the consolidation range as well Fibonacci level 50% around 1.0120, thus, it's important to watch the current price action as it's being re-tested which is taking place now as it may constitute a solid resistance zone for the USD/CAD pair.
On the short-term, price level of 1.0060 constituted an intraday support which managed to push USD/CAD to the upside towards 1.0175 and 1.0235.
Price zone between 1.0230 -1.0250 should be carefully watched for price action in order to take a profitable trade at this key level.
Breakdown of 1.0170 will open the way for a bearish movement towards 1.0125 initially.
