Keep in mind, the near-term rally in USD/CAD emerged following the failed attempt to break/close belowthe Fibonacci overlap around 1.2950 (78.6% expansion) to 1.2980 (61.8% retracement), with the yearly opening range highlighting a similar dynamic as the exchange rate failed to test the 2019 low (1.2952) during the first full week of January. The shift in USD/CAD behavior may persist in 2020 as the exchange rate breaks out of the range bound price action from the fourth quarter of 2019 and clears the October high (1.3383). However, recent price action warns of range bound conditions as the break of the descending channel formation failed to produce a test of the April high (1.4298), with USD/CAD snapping the series of higher highs and lows from the previous week amid the lack of momentum to break/close above the Fibonacci overlap around 1.4130 (100% expansion) to 1.4140 (161.8% expansion). Failure to hold above the 1.4010 (38.2% retracement) to 1.4040 (23.6% retracement) region may spur a more meaningful run at the Fibonacci overlap around 1.3810 (50% retracement) to 1.3830 (100% expansion), which sits just below the April low (1.3850), with the next area of interest coming in around 1.3730 (78.6% expansion).