Search ForexCrunch


USDCAD fell to a new low last week after wave four circled has accomplished a corrective pullback at 1.3299. From there we have seen a nice impulsive decline which looks like wave 5-circled, the final leg of a big bearish five wave fall so traders have to be aware of a bottom formation in April. Ideally the price will continue up to 1.3300 area that would be a strong indication of a new bigger recovery with three waves as part of wave B/II also shown on the daily chart.


usdcad 4


USDJPY is down this week, breaking beneath 110.64 so wave 4) was a flat and not a triangle. If the current bearish view is correct, then the leg down from 113.81 high is an impulsive reaction, thus a five wave pattern in play within red wave 5) that should send the price down to 109.00-108.50 area in the days ahead. For the short-term traders, a pullback in black wave 4 could be very interesting to join the weakness ideally from around 110.96.


usdjpy 4