USD/CAD: Wave Analysis Report 25 March 2021
The pair may fall.
On the daily chart, the downward wave of the higher level (C) of 4 develops, within which the fifth wave 5 of (C) forms. Now, the fifth wave of the lower level v of 5 is developing, within which the wave (iii) of v has formed, and a correction is ending as the wave (iv) of v. If the assumption is correct, the pair will fall to the levels of 1.2300–1.2200. In this scenario, critical stop loss level is 1.2733.
Main Scenario
Short positions will become relevant during the correction, below the level of 1.2733 with the targets at 1.2300–1.2200. Implementation period: 7 days and more.
Alternative Scenario
The breakout and the consolidation of the price above the level of 1.2733 will let the pair grow to the levels of 1.2942–1.3179.
Scenario
Timeframe: Weekly
Recommendation: Sell
Entry Point: 1.2567
Take Profit: 1.2300, 1.2200
Stop Loss: 1.2733
Key Levels: 1.2200, 1.2300, 1.2733, 1.2942, 1.3179
Alternative Scenario
Timeframe: Weekly
Recommendation: Buy Stop
Entry Point: 1.2735
Take Profit: 1.2942, 1.3179
Stop Loss: 1.2665
Key Levels: 1.2200, 1.2300, 1.2733, 1.2942, 1.3179