USD/CAD Elliott Wave Since our last analysis, the USD/CAD pair has been trading downwards, the final impulsive wave 5 (coloured blue) of the bigger wave [1] (coloured red) has been developing. Yesterday, we could observe ascending movement during the European session from 1.0496 towards the 1.0533 level. Therefore, during the New York session this commodity currency did not manage to hold this level and price has retraced back to 1.0488 level. At the moment, the USD/CAD pair is trading around 1.0512 area and we are expecting to see the price higher very soon. In accordance with our wave rules and taking into account that wave 5 should retrace 61.8% of wave 1, we can define the potential targets with measuring wave 1 with take profit at 1.0662 (61.8% of wave 1). To reduce the risk, we can use invalidation point at 1.0450 level as stop loss.
Support and resistance (S3) 1.0429 (S2) 1.0457 (S1) 1.0476 (PP) 1.0504 (R1) 1.0523 (R2) 1.0551 (R3) 1.0570
Trading forecast Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movement. That is why long positions at level 1.0530 with stop loss at 1.0450 and take at 1.0662 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
USD/CAD Elliott Wave
Since our last analysis, the USD/CAD pair has been trading downwards, the final impulsive wave 5 (coloured blue) of the bigger wave [1] (coloured red) has been developing. Yesterday, we could observe ascending movement during the European session from 1.0496 towards the 1.0533 level. Therefore, during the New York session this commodity currency did not manage to hold this level and price has retraced back to 1.0488 level. At the moment, the USD/CAD pair is trading around 1.0512 area and we are expecting to see the price higher very soon. In accordance with our wave rules and taking into account that wave 5 should retrace 61.8% of wave 1, we can define the potential targets with measuring wave 1 with take profit at 1.0662 (61.8% of wave 1). To reduce the risk, we can use invalidation point at 1.0450 level as stop loss.
Support and resistance
(S3) 1.0429 (S2) 1.0457 (S1) 1.0476 (PP) 1.0504 (R1) 1.0523 (R2) 1.0551 (R3) 1.0570
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movement. That is why long positions at level 1.0530 with stop loss at 1.0450 and take at 1.0662 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
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