USD/CAD Price Analysis: Bears eye a 38.2% ratio near the 1.2770s

• USD/CAD bears are fending off the bulls on the hourly time frame. 
• The bears eye a deeper correction to test the 38.2% ratio. 

USD/CAD is correcting the strong rally that has taken place over recent sessions and there are prospects of a continuation of the correction into test the prior resistance near 1.2770/75 for the day ahead. The following illustrates the structure on the hourly chart:

USD/CAD H1 chart

As illustrated, the price is correcting and there are prospects of a deeper move into the 38.2% Fibonacci retracement that has a confluence with the prior resistance area looking left. If this were to hold, then the focus would be back on the upside for a continuation of the bullish rally week-to-date.