We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Mixed
GBP/USD
Bullish
USD/JPY
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • The latest UK General Election opinion polls continue to show the Conservative Party holding a strong lead over Labour and point to Boris Johnson winning a working majority in Parliament. Get your $GBPUSD market update from @nickcawley1 here: https://t.co/qF04EOUWkI https://t.co/LNl4bXbnpp
  • Recent polls have put Conservatives ahead of Labour and given a boost to $GBP. Get your #Brexit update from @ZabelinDimitri here: https://t.co/l2n53C0cYY https://t.co/oTWfXkaDDt
  • What are the truths and myths of #forex trading? Find out from @DailyFX analysts here: https://t.co/uF75VPzstr #FOMOintrading https://t.co/xeromAGqqx
  • Macro data from around the world have long attested to the urgent need for a trade settlement between the US and China. Increasingly the corporate numbers are saying the same. Get your market update from @DavidCottleFX here:https://t.co/Qon7QUO80c https://t.co/rCOG78QQ2M
  • #Gold prices may fall while the US Dollar gains even as economic policies championed by the Trump administration invite inflation. Get your market update from @IlyaSpivak here: https://t.co/4lHhHsby56 $XAUUSD https://t.co/JmZxckVHdS
  • Cable (GBP/USD) remains just off its seven-month high print around 1.3165 as traders start to move to the side lines ahead of next Thursday’s General Election vote. Get your $GBPUSD market update from @nickcawley1 here: https://t.co/CpCh13J9ZH #Brexit https://t.co/PIh6WUqbsK
  • (Weekly Technical Outlook) GBP/USD, EUR/GBP, GBP/JPY, GBP/CAD Outlook as UK Election Looms $GBPUSD $EURGBP $GBPJPY #UKelection2019 - https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2019/12/07/GBPUSD-EURGBP-GBPJPY-GBPCAD-Outlook-as-UK-Election-Looms.html?CHID=9&QPID=917702 https://t.co/iuILHYczJ7
  • Why do you require consistency in trading and why does it matter? Find out: https://t.co/WlEFlluGfZ #tradingstyle https://t.co/TkMtJQKatx
  • By issuing debt denominated in $USD, China is making a long-term bet that it will be cheaper to pay back its loans over time in the US Dollar; it believes the value of the US Dollar will fall. Get your market update from @CVecchioFX here:https://t.co/5GO9UrvO4y https://t.co/xV9urXXf48
  • What are some risk trading management techniques? Find out: https://t.co/RShdlDz9RA #tradingstyle https://t.co/M3ASPIHAep
USD/CAD Up 3% from September Low, How High Will it Rebound?

USD/CAD Up 3% from September Low, How High Will it Rebound?

2017-10-24 01:12:00
Jeremy Wagner, CEWA-M, Senior Strategist
Share:

Later this week, Bank of Canada releases their latest round of interest rate announcements. As we await BOC, what can we plan for regarding USD/CAD price action?

The Elliott Wave model we are following suggests the longer term trend is still pointed lower. However, in the shorter term, USD/CAD may continue to work higher into the 1.27-1.31 range. We are anticipating this rebound higher to be a partial retracement relative to the May 2017 sell off.

In Elliott Wave GPS depicts USD/CAD may be in wave 2 of (C). For those unfamiliar with Elliott Wave, ‘C’ waves unfold as five wave moves, unless they are ‘C’ waves of a triangle. We are definitely not in a ‘C’ wave of a triangle. Therefore, we can anticipate three more waves to unfold to lower levels.

Want to learn more about Elliott Wave analysis? Grab the Beginner and Advanced Elliott Wave guides and keep them near your computer.

USD/CAD Up 3% from September Low, How High Will it Rebound?

Additional Reading: Elliott Wave Patterns – What is a zigzag?

Trading USD/CAD through the Bank of Canada rate announcement may be tricky. Since we are not near any significant retracement levels, it may be best to stand aside and let price action develop further. (If you wish to join DailyFX for the live news coverage of BOC, join the webinar presentation.)

A break below 1.2453 on USD/CAD would create a lower low. At that point, we will need to inspect the wave picture more closely for symptoms of a top.

USD/CAD Up 3% from September Low, How High Will it Rebound?

As a result, entertaining a cross pair including CAD may be an opportunity through major news. Our independent study of EURUSD, for example, implies we may see that market grind higher. Since we are anticipating USD/CAD and EUR/USD to move higher, then a bullish EUR/CAD bias may be warranted. Use simple technical analytical tools like support and resistance levels to identify points of entry. One such breakout opportunity is approaching near 1.49.

Why do a majority of traders lose? Find out in our traits of successful traders research.

USD/CAD Up 3% from September Low, How High Will it Rebound?

---Written by Jeremy Wagner, CEWA-M

Jeremy is a Certified Elliott Wave analyst with a Master’s designation. This report is intended to help break down the patterns according to Elliott Wave theory.

Discuss this market with Jeremy in Monday’s US Opening Bell webinar.

Follow on twitter @JWagnerFXTrader .

Join Jeremy’s distribution list.

Other Elliott Wave forecasts by Jeremy:

Gold prices may see $1200 in the coming weeks.

USDJPY grabs highest level in three months.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.