The pair USD/CAD is still likely to grow. Estimated pivot point is at a level of 1.3043.
Main scenario: long positions will be relevant above the level of 1.3043 with a target of 1.3500 – 1.3600 once the correction has finished.
Alternative scenario: Breakout and consolidation below the level of 1.3043 will allow the pair to continue declining to the levels of 1.2850 – 1.2735.
Analysis: Supposedly, the first wave of senior level 1 of (5) continues to develop within the daily time frame in the form of a wedge. The fifth wave v of 1 is developing in the 4-hour timeframe. Apparently, the third wave of junior level (iii) of v continues forming now in the 1-hour time frame, with a local correction (iv) of iii developing inside. If the presumption is correct, the pair will logically resume dropping to the levels 1.3500 – 1.3600. The level 1.3043 is critical in this scenario.
P.S. Did you like my article? Share it in social networks: it will be the best “thank you" :)
Ask me questions and comment below. I’ll be glad to answer your questions and give necessary explanations.
- I recommend trying to trade with a reliable broker here. The system allows you to trade by yourself or copy successful traders from all across the globe.
- Telegram channel with high-quality analytics, Forex reviews, training articles, and other useful things for traders https://t.me/liteforex
The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteForex. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.