USDCAD has reached important resistance at 1.3160. That level was tested few times until now. However, every test of that resistance since March 2016 eventually finished by rebound.
USDCAD has been forming the ascending triangle pattern for 3 months already (dashed blue line at the chart). According with the theory the range of movement (after the breakout of the triangle) should be equal of the widest part of the triangle (orange rectangle on the chart). Due to that, the price could move even 700 pips after the breakout of the triangle pattern.
Before you will open the position wait until the price will test the triangle from the side of breakout. It will help you avoid stop loss when the breakout turns to be fakey.
