The Loonie (USDCAD) is on a downtrend since 2009 and it does not seems to have any attempt to reverse this trend as of now.
Weekly Chart of USDCAD
As from the Weekly Chart above, the Loonie is making its way near to 2009 support and it is also near to multi-week support zone now. Since late Sep 2009 till now, the Loonie has been on a trading range, which could be a consolidation of the downtrend.
How to take this advantage?
4 Hourly Chart of USDCAD
On the 4 hourly chart, it seems that Loonie is forming a pennant-like chart pattern, which could hint a possible trend continuation.
This pattern will be valid as long as the top trendline of the pennant is not violated.
On the other hand, a bullish view on the Loonie could regard the pennant-like pattern to be a symmetrical triangle for a counter-trend move.
Therefore, it will be better to wait for a clear picture for Loonie to unfold before attempt for a trade.
