Main scenario: consider long positions from corrections above the level of 1.2945 with a target of 1.3430 – 1.3708.
Alternative scenario: breakout and consolidation below the level of 1.2945 will allow the pair to continue declining to the levels of 1.2721 – 1.2540.
Analysis: the fifth wave of larger degree 5 is presumably unfolding on the daily chart, with wave (1) of 5 formed and a corrective wave (2) of 5 completed as its parts. The third wave (3) of 5 started developing on the H4 chart, with the first wave of smaller degree 1 of (3) and a corrective wave 2 of (3) formed inside. Apparently, the third wave 3 of (3) started developing on the H1 chart, with wave i of 3 formed and local correction developing as wave ii of 3 inside. If the presumption is correct, the pair will continue to rise to the levels of 1.3430 – 1.3708 after the correction is completed. The level of 1.2945 is critical in this scenario as its breakout will enable the pair to continue declining to the levels of 1.2721 – 1.2540.
Price chart of USDCAD in real time mode
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