USD/CAD buy now thank me later ;)
Technicals:
* Wave A broke the Elliot wave impulse channel into a perfect 5 wave impulse that neared the 38% retracement, so now we have a 3 wave impulse to wave B that should last at least 4 days.
* EMA broke the channel line confirming a proper retracement is coming.
* The Fibonacci relationship: Wave B = 50%, 61.8%, 76.4% of wave A. I have indicated these levels with the greens arrows as potential take profit zones.
* MACD and other indicators need to reset.
* Fibonacci Projection hit the 100% at wave 5 in elliot and repelled the price.
Fundamentals:
* USDX is stalling but not impulsing at the 50% retracement level, which can indicate we may have a push to the 0.618% retracement level. Which would make sense because USD/CAD also needs a proper retracement.
* Brent Crude oil has momentum on its side in the coming week which means a strong CAD.
Approach:
* The 15min chart is due for a pullback, and when it stalls at a fib retracement level that will be the perfect entry for a swing trade.
* The potential pip gain is 112pips at the 50%, 152pips at the 618%, and 202 at the 78% level.
* Wave A broke the Elliot wave impulse channel into a perfect 5 wave impulse that neared the 38% retracement, so now we have a 3 wave impulse to wave B that should last at least 4 days.
* EMA broke the channel line confirming a proper retracement is coming.
* The Fibonacci relationship: Wave B = 50%, 61.8%, 76.4% of wave A. I have indicated these levels with the greens arrows as potential take profit zones.
* MACD and other indicators need to reset.
* Fibonacci Projection hit the 100% at wave 5 in elliot and repelled the price.
Fundamentals:
* USDX is stalling but not impulsing at the 50% retracement level, which can indicate we may have a push to the 0.618% retracement level. Which would make sense because USD/CAD also needs a proper retracement.
* Brent Crude oil has momentum on its side in the coming week which means a strong CAD.
Approach:
* The 15min chart is due for a pullback, and when it stalls at a fib retracement level that will be the perfect entry for a swing trade.
* The potential pip gain is 112pips at the 50%, 152pips at the 618%, and 202 at the 78% level.
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