The USD/CAD pair rose steeply approaching the key resistance level of the ascending channel around at 1.0530 as depicted in the chart.
Since then, the pair has established a consolidation range between 1.0450-1.0560 that expressed a false bullish breakout above 1.0555.
This false breakout was quickly followed by intesive bearish pressure that led to breakdown of 1.0450 and 1.0380 with a recorded low 1.0325.
As depicted on the chart, price zone 1.0325-1.0360 constituted a strong support area where a possible buttom may be established to lead towards 1.0450 initially.
A valid SELL entry may be taken at retesting of 1.0450 with SL located above 1.0510. However, consolidation above 1.0450 may threaten our entry.