The USD/CAD is consolidating, since making a high on the year at 1.1385 during mid-October. The 4H chart shows the consolidation in a falling wedge pattern, which is now broken to the upside.USD/CAD 4H Chart 10/27(click to enlarge) This break threatens bullish continuation, but so far it is a sideways break of a falling pattern, so the market will probably need a couple more signals before being ready to continue the uptrend toward the 1.1385 high and possibly beyond. There was a volatile 4H candle last week, which sets up an important range. we can see that a break above 1.13 would clear that spike and a couple other highs. If the RSI also pops up above 60 with this price action, we would have a stronger bullish continuation pattern. Now, if price fails to break above 1.13, and falls below 1.1180, it would clear below that same 4H candle which made the upside spike. A break below 1.1180 thus opens up further bearish correction, with the lows in the 1.1080-1.1100 area in sight in the short-term.