usd-cad

The USD rally is getting legs and much larger moves are expected in the coming weeks. Look to buy the greenback across the board on dips. Levels are clearly defined.

I am showing the daily chart today to convey how bullish I am on the USDCAD. A double zigzag decline from 1.3068 is considered complete and the pair has carved out a solid 1-2 base (5 up and 3 down) since the October low. A wave ii low is in place at 1.0415, which places the pair in wave iii higher targeting a break of 1.0875 followed by Fibonacci extensions of 1.1090 and 1.1500. Price ideally remains above 1.0610 but a drop under would expose support at 1.0590 and 1.0545.

Jamie Saettele publishes Daily Technicals every weekday morning, COT analysis (published Friday evenings), technical analysis of currency crosses on Monday, Wednesday, and Friday (Euro and Yen crosses), and intraday trading strategy as market action dictates at the DailyFX Forum.  He is the author of Sentiment in the Forex Market.  Follow his intraday market commentary and trades at DailyFX Forex Stream.   Send requests to receive his reports via email to jsaettele@dailyfx.com.

DailyFX provides forex news on the economic reports and political events that influence the currency market.
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