USD/CAD Elliott Wave Last week, the USD/CAD pair has been trading upwards, impulsive wave (5) (coloured black) of the bigger wave (C) (coloured blue) was developing. During the Friday’s Asian and European sessions, we could observe strong ascending movements from 1.0660 towards 1.0736 and we can consider them as the end of the b wave (coloured black) of the bigger FLAT ii wave (coloured blue). Therefore, during the New York session this commodity currency did not manage to hold around the highs and the price retraced all the way back to 1.0628 level. Today the USD/CAD pair is trading slightly lower and we are expecting to see more upward movements, while the price stays above 1.0560 level. In accordance with our wave rules and taking into account that wave 3 should retrace 161.8% of wave 1 we can define the potential targets with measuring wave 1 with take profit at 1.0895 (161.8% of wave 1). To reduce the risk, we can use invalidation point at 1.0560 level as stop loss.
Support and Resistance (S3) 1.0488 (S2) 1.0557 (S1) 1.0597 (PP) 1.0666 (R1) 1.0706 (R2) 1.0775 (R3) 1.0815
Trading forecast Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movements. That is why long positions at 1.0670 with stop loss at 1.0560 and take profit at 1.0895 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
USD/CAD Elliott Wave
Last week, the USD/CAD pair has been trading upwards, impulsive wave (5) (coloured black) of the bigger wave (C) (coloured blue) was developing. During the Friday’s Asian and European sessions, we could observe strong ascending movements from 1.0660 towards 1.0736 and we can consider them as the end of the b wave (coloured black) of the bigger FLAT ii wave (coloured blue). Therefore, during the New York session this commodity currency did not manage to hold around the highs and the price retraced all the way back to 1.0628 level. Today the USD/CAD pair is trading slightly lower and we are expecting to see more upward movements, while the price stays above 1.0560 level. In accordance with our wave rules and taking into account that wave 3 should retrace 161.8% of wave 1 we can define the potential targets with measuring wave 1 with take profit at 1.0895 (161.8% of wave 1). To reduce the risk, we can use invalidation point at 1.0560 level as stop loss.
Support and Resistance
(S3) 1.0488 (S2) 1.0557 (S1) 1.0597 (PP) 1.0666 (R1) 1.0706 (R2) 1.0775 (R3) 1.0815
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movements. That is why long positions at 1.0670 with stop loss at 1.0560 and take profit at 1.0895 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
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