Κυματική ανάλυση ΓΔ και ΑΛΦΑ,ΠΕΙΡ.
March 2, 2017
Έρχεται προσπάθεια ανοδικής υπερπήδησης…;
March 2, 2017

One of the forex pairs I will be focusing over the next few months is USDCAD. I believe that  is currently back testing broken long-term support from May 2015 lows at 1.24. I expect that as long as price is below 1.36 (risk 250 pips) the chances of  a downward move similar to the decline from 1.46 to 1.24 could repeat itself targeting 1.15-1.10 area. In the short-term we are approaching resistance by the downward sloping trend line connecting 2016 highs.

usdcad

A rejection around 1.3370-1.34 could be the signal we need to confirm the inability to retake 1.36. Bears need to see a lower high being formed around these levels and below 1.36. Confirmation of our bearish view will come on a new break below 1.30-1.2950.

usdcad2

On a weekly basis, a break below 1.32 will also be an initial bearish signal. However strong resistance is here at 1.34 where we back test the broken upward sloping channel. On the other hand, a pull back that will not break below 1.32 and create a higher low, will increase the chances of re-testing 1.36. Price is currently inside the weekly cloud, implying trend is neutral. That is true…neither bullish or bearish scenario is the clear favorite yet. Only from a risk reward perspective we can say that we would prefer the bearish scenario.

Thank you for taking the time to catch up on my thinking.

Alexandros Yfantis
Alexandros Yfantis

Fascinated by financial markets, studied International Securities Investment and Banking in the UK, works as a Portfolio Manager in Greece and runs a technical analysis website. Enjoys travelling and spending time with his family and preparing for the black belt in Korean Karate.