USD/CAD has traded sideways over the past 24 hours essentially. Economists at Scotiabank expect the pair to stage another leg lower.

Break below 1.2835/40 to trigger more losses through the 1.28 area

“After falling sharply from the Friday peak just under 1.30, the consolidation could be seen as a technical pause ahead of another leg lower – a bear flag pattern, in other words.” 

“USD losses below 1.2835/40 should trigger more USD losses through the 1.28 area.”

“Resistance on the session is 1.2875/80.”