USD/CAD Elliott Wave Since our last analyses the USD/CAD pair has continued trading downwards, corrective sub-wave C (coloured green) of the wave 4 (coloured blue) has been developing. During the Wednesday’s Asian and European sessions we could observe strong descending movement from 1.0503 towards the 1.0457 level. Therefore, during the New York session this commodity currency has continued trading in a bearish mood and price has reached a new daily low at 1.0425 level. We can consider this move as the end of the corrective wave 4 (coloured blue). At the moment the USD/CAD pair is trading around 1.0455 area and we are expecting to see price higher in the next few sessions.In accordance with our wave rules and taking into account that wave 5 should retrace 61.8% of wave 3, we can define the potential targets with measuring wave 3 with take profit at 1.0666 (61.8% of wave 3). To reduce the risk, we can use support point at 1.0425 level as stop loss. Support and Resistance (S3) 1.0375 (S2) 1.0416 (S1) 1.0445 (PP) 1.0486 (R1) 1.0515 (R2) 1.0556 (R3) 1.0585 Trading forecast Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movement. That is why long positions at level 1.0470 with stop loss at 1.0425 and take at 1.0666 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
USD/CAD Elliott Wave
Since our last analyses the USD/CAD pair has continued trading downwards, corrective sub-wave C (coloured green) of the wave 4 (coloured blue) has been developing. During the Wednesday’s Asian and European sessions we could observe strong descending movement from 1.0503 towards the 1.0457 level. Therefore, during the New York session this commodity currency has continued trading in a bearish mood and price has reached a new daily low at 1.0425 level. We can consider this move as the end of the corrective wave 4 (coloured blue). At the moment the USD/CAD pair is trading around 1.0455 area and we are expecting to see price higher in the next few sessions.In accordance with our wave rules and taking into account that wave 5 should retrace 61.8% of wave 3, we can define the potential targets with measuring wave 3 with take profit at 1.0666 (61.8% of wave 3). To reduce the risk, we can use support point at 1.0425 level as stop loss.
Support and Resistance
(S3) 1.0375 (S2) 1.0416 (S1) 1.0445 (PP) 1.0486 (R1) 1.0515 (R2) 1.0556 (R3) 1.0585
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movement. That is why long positions at level 1.0470 with stop loss at 1.0425 and take at 1.0666 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
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