USDCAD: Trading map in the daily with weekly overlay
Continuing my analysis on this pair, we have a very clear uptrend in place.
The targets on chart mark potential retracement or reversal levels, as well as support and resistance from both linear regression trends and past price action around areas of supply and demand, picked out by the time at mode methodology.
I included a fibonacci measurement of what I think is a wave 1 (could also be a wave A) of a strong rally.
If the move up is indeed corrective, which Elliott Wave analysis can determine with accuracy once the pattern is complete and the alternate count discarded, then we can look to short around the 1.27 fibonacci extension area probably, since this would prove to be a B rally in a larger corrective structure.
Time at mode outlines time and price targets, of which the first daily one has already been met, and the weekly ones are pending, in both time AND price.
Interestingly enough, the daily uptrend expires by the 6th, which is the first trading session after the Greek bailout referendum. We WILL see volatility, so it’s only logical to expect a strong move.
I won’t close my trade ahead of news, I’m holding a risk free entry, and will continue to scale in on retracements until we hit my targets. If price crosses the upper weekly mode, it will accelerate and head up, so no worries there.
If we don’t see new highs soon, above 1.25614, this can be a triangle, and the move up would be in question since it could break and thrust up or down just the same.