In our previous USD/CAD forecast we posted a trade setup which worked perfectly, rewarding us with more than 3500 pips. An exhaustive move caused by Fed decision on Interest Rates hit our downside target for wave (A) at the 100% extension level. We expect buyers to come up and provide support in this area. Until we have a confirmed move above the previous red wave 4, we cannot guarantee that the price will jump up at red wave (B).
USDCAD 4H Chart (March 17, 2016)
We expect one more possible low since this seems like the bottom of only wave iii of red wave 5 of C.
Trade Setup
Enter Long once 1.3045 level is breached
Stop Loss = 1.29221
Target 1= 1.31653
Target 2= 1.33425
*** If Target 1 is reached and surpassed, adjust stop loss to 1.3138 to protect profits.
