The USDCAD is currently in retracement mode on higher time frames. Housing prices in Canada dropped from a 3y high reading (231.3 to 198.1) and we could also read OECD forecasts that Canada’s Eco growth will slow down this year.
The correlation on H4 timeframe is highly negative with GBPUSD and strong negative with EURUSD so if those pairs are heading down, USDCAD will surge up. Currently USDCAD is very close to POC which comes in 1.3215-35 zone and is already started to reject it. POC is showing inverted Head and Shoulders variant 2 pattern ( Leaned Inv Head and Shoulders ) with L3, previous swing and EMA 89. The zone could reject the pair towards 1.3320 and 1.3370. Additionally H4 timeframe is showing higher high and higher low so when we zoom in to H1 timeframe, we see POC clearly.
USDCAD 4 Hour Chart