USDCAD: Three Waves Up Within Downtrend Is A Bearish Structure

USDCAD is recovering from 1.0180 but in corrective fashion labeled as wave (iv) that is part of a larger incomplete five wave decline  from August high. We can see that rally from 1.0180 is in three waves that retraced back to former wave four for 38.2%-50% retracement area. As such, thats an ideal zone for a reversal back to previous lows; 1.0280 break will confirm the bearish case for this market, while rise above 1.0450 will invalidate it.

USDCAD 4h Elliott Wave Analysis Chart

Written by Elliott Wave Analysis Services

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