USD/CAD – 1.3493
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Recent wave: Only wave v of c has ended at 0.9407 and wave C of major A-B-C correction is underway for headway to 1.4700
Trend:Â Near term up
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Original strategy      :
Bought at 1.3530, Target: 1.3730, Stop: 1.3470
Position: – Long at 1.3530
Target:Â – 1.3730
Stop: – 1.3470
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New strategy            :
Hold long entered at 1.3530, Target: 1.3730, Stop: 1.3470
Position: – Long at 1.3530
Target:Â – 1.3730
Stop:- 1.3470
Although the greenback has remained under pressure and marginal weakness from here cannot be ruled out, reckon downside would be limited to 1.3470 and bring rebound, above 1.3540-45 would bring test of 1.3580-85 but break of latter level is needed to signal low is formed, bring subsequent rise to 1.3670, however, only break there would confirm and suggest the the fall from1.3794 has ended, bring further gain to 1.3700 and later towards 1.3740-45.Â
In view of this, we are holding on to our long position entered at 1.3530. Below 1.3470 would signal the fall from 1.3794 top is still in progress and may extend weakness to previous support at 1.3411, however, loss of downward momentum should previous sharp fall below there today and reckon 1.3370 would remain intact.
To recap, wave B from 1.3066 is unfolding as an a-b-c and is sub-divided as a: 1.2192, b: 1.2716 and wave c is a 5-waver with i: 1.1983, ii: 1.2506, extended wave iii with minor iii at 1.0206, wave iv ended at 1.0781 and wave v as well as wave iii has ended at 0.9931, hence the subsequent choppy trading is the wave iv which is unfolding as (a)-(b)-(c) with (a) leg of iv ended at 1.0854, followed by (b) leg at 1.0108 and (c) leg as well as the wave iv ended at 1.0674. The wave v is sub-divided by minor wave (i): 0.9980, (ii): 1.0374, (iii): 0.9446, (iv): 0.9913 and (v) as well as v has possibly ended at 0.9407, therefore, consolidation with upside bias is seen for major correction, indicated target at 1.3700 and 1.4000 had been met and further gain to 1.4700 would be seen later.
