After strong bullish run of the pair, now USDCAD is at a very critical structure on the chart. This area around 1.2900 represents a very strong resistance where we expect that the pair may struggle to break through it. In this case, a move down towards Monthly Pivot Point at 1.26420 is likely to happen. However, the strong bulls run may not be over yet, and if it has enough momentum it may break this structure at 1.2900 and continue higher up to Monthly Resistance1. For as long as we don't have any further confirmation, we will stay out of this market and will wait to see the Price Action to unfold so we can make a better decision. A scenario in case that price confirms it's down move and gets rejected by above mentioned structure, we will enter short in anticipation of M_PP test. If price breaks the 1.2900 area, we will wait for it to test this area from upside then enter long up to M_R1.