USDCAD has been trading in a range between 1.3225 and 1.3977, indicating a period of consolidation after the long-term uptrend from the May 2021 low of 1.2006. The pair has been following a rising price channel on the weekly chart, suggesting that the uptrend is still intact.
As long as the price stays within the rising channel, the sideways movement could be considered as a consolidation for the long-term uptrend. A breakout above the resistance level at 1.3977 could signal the continuation of the uptrend and next target would be at 1.4500 area.
On the downside, the key support level is at 1.3225. A break below this level could indicate the completion of the uptrend and a potential reversal of the trend. In this scenario, the pair would find support at around 1.2900.