USD/CAD Elliott Wave Technical Analysis [Video]

USDCAD Elliott Wave Analysis Trading Lounge Daily Chart.

Daily chart US Dollar/Canadian Dollar (USDCAD).

USD/CAD Elliott Wave Technical Analysis

• function: Bullish trend.

• Mode: Impulsive.

• Structure: Navy blue wave 1.

• Position: Gray wave 3.

• Direction (next lower degrees): Navy blue wave 2.

• Details: Navy Blue Wave 1 of 3 is in play.

• Wave cancellation invalidation level: 1.34180.

USDCAD Elliott Wave analysis on the daily chart shows that the market is in an uptrend with an impulsive wave structure. Currently highlighted in the chart is gray wave 3, which is part of the broader navy blue wave 1. This suggests that the market is in an upward movement after the resolution of previous corrective waves.

The focus remains on the navy blue wave 1 of the gray wave 3, which is actively developing. This indicates continued upward momentum in the market. Impulsive waves like wave 3 generally indicate strong price movements that are consistent with the trend. As this wave unfolds, USDCAD is likely to maintain its uptrend. Once this upward wave is complete, the next wave, navy wave 2, will emerge and initiate a corrective phase.

An invalidity level was identified at 1.34180. Should price fall below this point, it would invalidate the current Elliott Wave structure and signal the need to reassess the market outlook. Until this level is broken, the uptrend will remain intact and further price increases are expected.

To summarize, USDCAD is trending upwards with gray wave 3 of dark blue wave 1 currently in motion. Traders should watch for further upside as wave 1 of 3 continues to develop. The 1.34180 level serves as a critical invalidation point – if broken, it will disrupt the current wave structure. Should the uptrend continue as forecast, the market will move into a corrective navy wave 2 after the current wave completes.

US Dollar/Canadian Dollar (USDCAD) four-hour chart

USD/CAD Elliott Wave Technical Analysis

• Function: Bullish trend.

• Mode: Impulsive.

• Structure: Orange wave 3.

• Position: Navy blue wave 1.

• Direction (next lower degrees): Orange wave 4.

• Details: Orange Wave 2 is probably complete; Orange Wave 3 of Navy Blue Wave 1 is in play.

• Wave cancellation invalidation level: 1.34180.

The USDCAD Elliott Wave analysis for the 4-hour chart reflects an uptrend following an impulsive wave structure. The active wave in the game is the orange wave 3, part of the larger navy blue wave 1 structure. The analysis suggests that Orange Wave 2 is likely complete and Orange Wave 3 is now unfolding within Navy Wave 1.

This indicates that the market is in a bullish phase and further upward movement is expected as the orange wave 3 progresses. In Elliott Wave Theory, wave 3 tends to have the strongest momentum and often brings significant price gains. Traders should expect continued bullish momentum while this wave is underway.

After the completion of Orange Wave 3, the market is likely to enter a corrective Orange Wave 4. During this phase, a temporary pullback is likely to occur, giving the market a short break before the uptrend resumes.

The wave cancellation invalidation level is set to 1.34180. If the price falls below this point, the current Elliott wave count will be invalidated, requiring a reassessment of the wave structure. However, if the price stays above this level, the bullish outlook remains intact.

To summarize, USDCAD is currently following an uptrend with the orange wave 3 actively unfolding. The completion of orange wave 2 signals further upward momentum. Traders should keep an eye on the invalidation level at 1.34180 as an important threshold. After the completion of Orange Wave 3, the market could enter a corrective Orange Wave 4 before the uptrend resumes.

USD/CAD Elliott Wave Technical Analysis [Video]