AUD and CAD Are Vulnerable Against The Dollar

The USD found some buyers in the overnight session with mixed signals across the board. On GPBUSD, EURUSD and USDJPY pullbacks can be corrective and temporary, while on commodity pairs such as AUDUSD, USDCAD we see a nice impulsive reaction that will drive USD higher.

On AUDUSD we can see a broken channel line and a nice impulse down which is the first important evidence for a completed wave C at the latest high. However, I would love to see more weakness towards the 0.7710 termination point of wave B before we can fully turn bearish on the pair. In that case, I will consider shorts against the high.

Elliott Wave Analysis – AUDUSD 15min

On USDCAD we are also tracking a bullish pattern, but with a sideways move on crude oil and even a bullish pattern on energy, we should not be surprised if USDCAD will retest 1.2120 area. I guess we will have to wait on CAD CPI and CAD Core Retail Sales figures for the final confirmation regarding the direction. That said, I would be looking for a bounce from beneath 1.2120 if we get there or turn directly bullish if the price rallies above 1.2344.

Elliott Wave Analysis – USDCAD 1h

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Gregor Horvat

Grega Horvat Grega is based in Slovenia and has been involved in markets since 2003. He is the owner of Ew-Forecast, but before that he was working for Capital Forex Group and TheLFB.com. His feature articles have been published on FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc. He recently won the award on FXStreet.com for Best Forex Analysis in 2016. At Ew-forecast he helps clients and educates them about the Elliott wave principle and how to label and track unfolding patterns in real time. His approach to the markets is mainly technical. He uses a lot of different methods when analyzing the markets such as candlestick patterns, MA, technical indicators etc. His specialty, however, is Elliott Wave Theory which could be very helpful especially if you know how to use it in combination with other tools/indicators. EW-Forecast To be involved in the market effectively, you need the right guidance and resources, and our team can help you to achieve that. Our team is providing advanced informations about Elliott Wave theory in real time. The Elliott Wave Principle gives you a method for identifying the behavior of the markets and at what points the market is most likely to turn. We help new traders who are interested in Elliott Wave theory to understand it correctly. We are doing our best to explain our views as simple as possible with educational goal, because knowledge itself is power!

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