The USD/CAD pair has been down-trending within the depicted bearish channel. This bearish trend started with retesting 1.1260 when bears initiated this extensive bearish impulse.
Two months ago, the bearish swing mentioned above was hindered at the price level of 1.0620. This price level corresponded to the lower limit of the channel as well as the backside of a steeper bearish one.
In August, bullish breakout off the movement channel took place. This enabled the current bullish Flag pattern to be established.
In one month, a bullish rally extended from 1.0620 reaching 1.0990 where the upper limit of the Flag pattern is located.
On Monday, daily closure above 61.8% Fibonacci level (1.1020) confirmed the Flag pattern rendering price level of 1.0985 as a valid BUY entry which is running in profits now.
Successive BUY opportunities existed around 1.0980-1.0950 including Tuesday's retesting. The pair is currently challenging the weekly high around 1.1095 with bearish rejection being expressed so far. SL should be located below 1.0940.
Projection target is roughly located at 1.1250.