USD/CAD: wave analysis
The pair may grow.
On the 4-hour chart, a downward correction of the higher level formed as the wave ii of (3), and the development of the third wave iii of (3) started. Now, the first wave of the lower level (i) of iii has formed, and the local correction (ii) of iii has ended. If the assumption is correct, the pair will grow to the levels of 1.3409–1.3560. In this scenario, critical stop loss level is 1.3259.
Main scenario
Long positions will become relevant during the correction, above the level of 1.3259 with the targets at 1.3409–1.3560. Implementation period: 7 days and more.
Alternative scenario
The breakout and the consolidation of the price below the level of 1.3259 will let the pair go down to the levels of 1.3183–1.3149.
Scenario
Timeframe Weekly
Recommendation BUY
Entry Point 1.3302
Take Profit 1.3409, 1.3560
Stop Loss 1.3259
Key Levels 1.3149, 1.3183, 1.3259, 1.3409, 1.3560
Alternative scenario
Recommendation SELL STOP
Entry Point 1.3250
Take Profit 1.3183, 1.3149
Stop Loss 1.3280
Key Levels 1.3149, 1.3183, 1.3259, 1.3409, 1.3560
On the 4-hour chart, a downward correction of the higher level formed as the wave ii of (3), and the development of the third wave iii of (3) started. Now, the first wave of the lower level (i) of iii has formed, and the local correction (ii) of iii has ended. If the assumption is correct, the pair will grow to the levels of 1.3409–1.3560. In this scenario, critical stop loss level is 1.3259.
Main scenario
Long positions will become relevant during the correction, above the level of 1.3259 with the targets at 1.3409–1.3560. Implementation period: 7 days and more.
Alternative scenario
The breakout and the consolidation of the price below the level of 1.3259 will let the pair go down to the levels of 1.3183–1.3149.
Scenario
Timeframe Weekly
Recommendation BUY
Entry Point 1.3302
Take Profit 1.3409, 1.3560
Stop Loss 1.3259
Key Levels 1.3149, 1.3183, 1.3259, 1.3409, 1.3560
Alternative scenario
Recommendation SELL STOP
Entry Point 1.3250
Take Profit 1.3183, 1.3149
Stop Loss 1.3280
Key Levels 1.3149, 1.3183, 1.3259, 1.3409, 1.3560
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.