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Canadian Dollar Technical Outlook

Friday, 11 April 2008 13:28:40 GMT

Written by Jamie Saettele, Currency Analyst

The drop to 1.0132 last night could be the small 2nd wave that we were anticipating.  A break above 1.0223 would confirm this suspicion.

The latest bull leg (.9710-1.0324) is a wave 1 impulse within a 5 wave bull cycle (wave i of 1 is a diagonal).  The drop to 1.0018 is wave 2 and wave 3 should be underway now; which will lead to a break above 1.0324 and much higher prices.    

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