USD/СAD: Wave analysis and forecast for 26.02 – 04.03: Downtrend dominates.
Estimated pivot point is at the level of 1.3860.
Our opinion: sell the pair from correction below the level of 1.3860 with the target of 1.3280 – 1.3054.
Alternative scenario: Breakdown and consolidation of the price above the level of 1.3860 will enable the pair to continue the rise up to 1.40 – 1.41.
Analysis: Presumably, the formation of the double downward zigzag continues in the first wave of the emerging large “bearish” correction. Locally, it seems that the correction as the wave x has completed and momentum in wave (a) of y is developing. If this assumption is correct, the pair can continue to decline to 1.3280 – 1.3054. Critical level for this scenario is 1.3860. Breakdown of this level will trigger the rise in the pair to 1.40 – 1.41.