USD/CAD Elliott WaveВ
The USD/CAD pair traded upwards last week, corrective wave (a) (coloured red)В of the bigger wave [y] (coloured blue) was developing. Yesterday's descendingВ movement from 1.0944 toward 1.0840 was enough to confirmed that we are in the (b) waveВ right now and while we stay below the Friday's high we are going to look for a shortВ term selling opportunity in this commodity currency. In accordance with our wave rulesВ and taking into account that wave (b) should retrace 50% of wave (a), we can define theВ potential targets with measuring wave (a) with take profit at 1.0769 (50% of wave (a)).В Swing traders should wait for wave (b) to complete and from there we can try longВ against the 1.0630 level.В
Support and Resistance
(S3) 1.0736 (S2) 1.0789 (S1) 1.0823 (PP) 1.0876 (R1) 1.0910 (R2) 1.0963 (R3) 1.0997
Trading forecastВ
Proceeding from Elliott Wave rules today, the trend is expected to begin downwardВ movements. That is why short positions at the level of 1.0870 with stop loss at 1.0944В and take profit at 1.0769 are recommended. В
