By Orbex
The USDCAD structure suggests the development of a cycle double zigzag. This saw wave w complete as a triple Ⓦ-Ⓧ-Ⓨ-Ⓧ-Ⓩ zigzag.
Since the beginning of this month, the market has moved upwards. Most likely, a new Ⓐ-Ⓑ-Ⓒ zigzag of the primary degree is currently under construction. This is likely to end at the level of 1.2676, at the completion of the first impulse wave.
At that level, intermediate wave (5), which is part of the wave Ⓐ, will be at the 100% Fibonacci extension of wave (3).
After the completion of the bullish impulse, a corrective decline is likely within the wave Ⓑ below the minimum of 1.2250.
Free Reports:
Sign Up for Our Stock Market Newsletter – Get updated on News, Charts & Rankings of Public Companies when you join our Stocks Newsletter
Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
However, there is a possibility that the formation of a bearish cycle wave w is still ongoing.
It is possible that a minute fourth correction is being constructed, which takes the form of a minute zigzag (a)-(b)-(c). We may see its end near 1.2540. At that level, the minute fourth correction will be at 61.8% of the minute third wave.
After reaching this level, the bears can lead the market in the minute fifth wave significantly below the minimum of 1.2012, where the development of a large cycle wave w will be completed.
By Orbex
- COT Metals Charts: Speculator bets led by Platinum & Silver May 18, 2024
- COT Bonds Charts: Speculator bets led by the 10-Year & 2-Year Bonds May 18, 2024
- COT Stock Market Charts: Speculator bets led by DowJones-Mini & Russell-Mini May 18, 2024
- COT Soft Commodities Charts: Speculator bets led higher by Corn & Wheat May 18, 2024
- Stoxx Europe 600: What Signs of Investor Exuberance Keep Telling Us May 17, 2024
- Natural gas prices rose to a 4-month high. China released mixed data May 17, 2024
- S&P 500 index hits record high amidst lower inflation May 17, 2024
- Stock indices have hit all-time highs. The Australian labor market is starting to cool down May 16, 2024
- Target Thursdays: USDInd, Soybean & EU50 hit targets! May 16, 2024
- JPY has sharply strengthened May 16, 2024