The USDCAD is still in a descending wedge.

The strong CAD jobs numbers last Friday has kept the CAD bid despite the strength we had seen in the USD against other pairs in the last couple sessions. This has allowed the USDCAD to slip to new trend lows which now targets the 127% extension at the 1.2400 level and also wedge support. Since we are in a descending wedge (eventual bullish setup) and the daily RSI is divergent, a good risk/reward counter trend trade may be long near the 1.2400 level for a move back to the 1.2600 wedge resistance.