USD/CAD Elliott Wave Since our last analysis the USD/CAD pair was trading downwards and our invalidation point was broken, so we must change our primary wave count a little bit. Yesterday, during the Asian and European sessions we could observe descending movement from 1.0233 towards 1.0187 level and we can consider this move as the end of the final corrective wave (Y) (coloured pink) of the bigger wave 2 (coloured blue). Therefore, during the early New York session when development of the impulsive wave 3 (coloured blue) starts, this major currency has retraced back to 1.0226 level. At the moment the USD/CAD pair is trading around 1.0205 level and we expect to see the price above 1.0350 in the next few days. In accordance with our wave rules and taking into account that the wave 3 should retrace 161.8% of the waves 1, we can define the potential targets with measuring wave 1 with take profit at 1.0356 (161.8% of wave 1). To reduce the risk, we can use invalidation at 1.0180 level as stop loss
Support and Resistance (S3) 1.0164 (S2) 1.0182 (S1) 1.0193(PP) 1.0211 (R1) 1.0229 (R2) 1.0240 (R3) 1.0258
Trading forecast Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movement. That is why long positions at level 1.0215 with stop loss at 1.0180 and take profit at 1.0356 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 was trading downwards and our invalidation point was broken, so we must change our primary wave count a little bit. Yesterday, during the Asian and European sessions we could observe descending movement from 1.0233 towards 1.0187 level and we can consider this move as the end of the final corrective wave (Y) (coloured pink) of the bigger wave 2 (coloured blue). Therefore, during the early New York session when development of the impulsive wave 3 (coloured blue) starts, this major currency has retraced back to 1.0226 level. At the moment the USD/CAD pair is trading around 1.0205 level and we expect to see the price above 1.0350 in the next few days. In accordance with our wave rules and taking into account that the wave 3 should retrace 161.8% of the waves 1, we can define the potential targets with measuring wave 1 with take profit at 1.0356 (161.8% of wave 1). To reduce the risk, we can use invalidation at 1.0180 level as stop loss
Support and Resistance
(S3) 1.0164 (S2) 1.0182 (S1) 1.0193(PP) 1.0211 (R1) 1.0229 (R2) 1.0240 (R3) 1.0258
Trading forecast
Proceeding from Elliott Wave rules today, the trend is expected to begin the upwards movement. That is why long positions at level 1.0215 with stop loss at 1.0180 and take profit at 1.0356 are recommended.
The material has been provided by InstaForex Company – www.instaforex.com
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