USD/CAD Elliott Wave Since our last analyses, the USDCAD pair has continued trading upwards, corrective wave a (coloured blue) of the bigger wave (y) (coloured green) has been developing. Yesterday, during the Asian and European sessions we could observe descending movements from 1.0322 towards the 1.0302 level. Therefore, during the New York session this commodity pair did not manage to hold this level and the price reached a new high at the 1.0339 level. We can consider this move as the end of the a wave (coloured blue). At the moment, the USDCAD pair is trading around the 1.0323 level and we are expecting to see more bullish movements today, before the price turns lower when [c] wave (coloured black) starts. In accordance with our wave rules and taking into account that wave C should retrace 100% of wave A, we can define the potential targets with measuring wave A with take profit at 1.0376 (100% of wave A). To reduce the risk, we can use invalidation point at 1.0285 level as stop loss. Support and Resistance (S3) 1.0257 (S2) 1.0280 (S1) 1.0294 (PP) 1.0317 (R1) 1.0331 (R2) 1.0354 (R3) 1.0368 Trading forecast Proceeding from Elliott Wave rules today, the trend is expected to begin upward movements. That is why long positions at the level of 1.0335 with stop loss at 1.0285 and take profit at 1.0376 are recommended.
