Elliott Wave Analysis: USDCAD Trading Lower From A Completed

USDCAD is currently trading lower, specifically at the 1.3126 level after a probable top had been posted some days before the end of the old year. We are talking about sub-wave C of B or II. That said, if that is the case then more weakness should follow in weeks ahead within higher degree wave C or III. A breach beneath the lower corrective channel line and beneath the 1.3069 level would indicate more weakness to follow.

USDCAD, Daily

On the lower degree chart, USDCAD is still turning sharply down from a new high that was reached at the end of December near the 1.3600 level. This impulsive drop we labeled as an ongoing wave 1) or A) that appears finished based on a turn up from our Fibonacci projection level the past week. Intraday recovery is sharp, like a small impulse that belongs to a new three wave temporary rally. We are tracking red wave 2)/B) which can revisit 1.3250-1.3300 resistance area before downtrend resumes this week.

USDCAD, 4H

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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