USDCAD is trading nicely higher for the past few weeks, a move which was expected after the wave B) pull-back down to 0.9800 support at the end of 2012.
We know that after the pair completed a correction the market will make an impulsive price action, and that is exactly what we are tracking now in wave C); five wave rally in wave C), which is still incomplete.
For now we have only three waves up to 1.0340, so more gains to come after current wave 4 pull-back that could test 1.0200 level next week, before uptrend resumes.
A critical level is at 1.0100. Why? Because wave four must not make an overlap with wave one.
Sentiment table
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Current Trend/Sentiment |
Directional Bias |
Strategy |
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Up |
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Wait on deeper fourth wave pull-back 1.0200 and then look for longs. |
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