Based on technical analysis the bearish trend is present in USD/CAD currency pair, 4 hours time frame based on USD/CAD Elliott Wave Long Term Forecast. As I have forecasted few hours ago, the price of USD/CAD pair is going to drop lower now to prints a Bearish Impulse Elliott wave pattern and traders should look for a sell trade. So, all those Forex traders who have followed my Elliott wave analysis have made the right decision as price has descended.
Strong key resistance level is present at 1.3570 price area. In my judgment, price action in USD/CAD currency pair is now going to drop lower more. So, market is going to remain bearish on a medium term basis. Based on Elliott wave forecast, the current Bearish trend is part of a Bearish Impulse Elliott Wave pattern, in higher time frame.
Currently, bearish impulse Elliott wave pattern wave iii looks in-complete. So, a good idea is to look for a possible sell trading chance to join the down trend around 1.3243 price area. However; if the price of USD/CAD currency pair breaks above 1.3570 vital resistance level then down trend is going to end. In such a market scenario, it would be best not to trade the Forex market and re-do the USD/CAD Elliott wave analysis in four hours chart.
If you are a trader who prefer to use robots and EAs to automate your trades and make them very profitable for you or require very good forex/stock training resources, please check this page.
Now, at this point; I must acknowledge that the trend is also bearish in higher time frame of USD/CAD currency pair.
NB: Interested In Mining Bitcoin And Other Cryptocurrencies for Profit? Now, You Can Mine Better, Faster and Smarter for More Profits With The Ready to Use, "High Performance", and Approved IQ Mining BTC Cloud Service For Miners. With This Mining Service, You Will Get Up to 128% Yearly ROI from Mining Bitcoins Alone Without Having to Buy Any Expensive Mining Hardwares and Softwares! Not Only That, You Will Get Your First Payout In First Few Hours After Buying a Plan With IQ Mining. You’re Also Given a Dedicated Account Manager After You Buy A Plan Who Will Help You With the Best Pool Allocations and Account Setup Plans To Get the Most Out of Your Purchase.
Below is the daily chart of USD/CAD pair with my Elliott wave forecast which shows us a big picture and a well started bearish trend as well.
To me; price is printing Bearish impulse Elliott wave pattern. Based on Elliott wave analysis, price action is going to move down to complete the Bearish impulse wave 3 leg. So, now market is moving lower on a short term basis to complete the bearish impulse wave 3 leg. The bearish impulse wave 3 leg is the last and final decline as price is going to prints a long term bottom after that. Within the Bearish impulse Elliott wave pattern, all sub-waves must sub-divides into 5, 3, 5, 3 and 5 waves pattern.
The following Elliott Wave Bearish Impulse pattern diagram shows us a completed Bearish Impulse Wave pattern within the frame work of Elliott wave principle.
The Bearish Impulse Wave pattern of the Elliott wave principle shows that how price action does not moves in a straight line fashion but in a series of lower swing highs and lower swing lows. Bearish Impulse Elliott wave pattern in a down trending market could be seen inside the above image. The figure shows what a Bearish Impulse Elliott wave pattern looks like. If a trader knows what a Bearish Impulse Wave pattern looks like, then it would become much easy for a currency trader to actually analyze the Forex charts and make a trading decision as well.
A Bearish Impulse Wave consists of total five waves. Three bearish leg in the favour of a down trend and two bullish corrective Elliott wave patterns, against the down ward market trend. We use numbers to label impulse wave 1, 2, 3, 4 and 5 and inside wave 2 and 4, we use English alphabets to label corrective wave structures. Please take a note that Bearish Impulse Wave pattern is a motive Elliott wave pattern which appears at a trending market environment and moves in the favour of larger down ward market trend.
Based on my USD/CAD technical analysis using Elliott Wave in daily chart, we have got a in-complete Bearish impulse wave leg – wave 3 and price action is now falling down to prints a bearish impulse wave 3 leg. However; it is possible if price breaks above blue colour resistance level then forecast will become in-valid. Now, price action is probably going to move sideways and then drop down more to complete bearish impulse wave 3 leg. To me; in four hours chart of USD/CAD currency pair the bearish leg wave iii which is part of a higher degree wave 3 in daily chart is just a bearish leg in a down trend leg as mentioned above as wave iii Bearish leg pattern inside a daily price chart.
Strong key resistance level is present at 1.3793 price area in USD/CAD daily chart. So, I expect market to first move sideways for next coming trading days and then may be starts the drop. So, in my opinion market is going to remain bearish on a medium term basis, expects a bearish leg in market. Next, market is probably going to resume the down trend after that in USD/CAD currency pair, in daily chart.
Now, when an existing Bearish Elliott Wave Long Term Forecast in USD/CAD is going to fail?
Well, the forecast is good for about next two weeks time and price should stays below 1.3793 resistance area in daily time frame to keep the down trend alive. A clear bullish break out in price action above 1.3793 resistance area will end the down trend and bearish Elliott Wave Long Term analysis; in such a market scenario, it would be best not to trade the market and re-analyze USD/CAD daily chart.
Based on USD/CAD Elliott Wave Long Term Forecast the trend is down in daily chart and a good idea is to look for a sell trade around 1.3205 price area, as price is going to drop down towards 1.2085 but a clear bullish break out in price action above 1.3793 vital resistance area will end the down trend. On a medium term basis, it is a bearish trend in USD/CAD 4 hours time frame and a good idea is to take a sell trade around 1.3243 price level and price is probably going to drop down more towards 1.3150 price level. However; if the price of USD/CAD currency pair breaks above 1.3570 vital resistance level then bearish trend and bearish analysis is going to end. We recommend trading with these top-rated brokers when using our signals/analyses/forecasts as they handle your trades quicker and more efficiently with very low spreads and most of them have high trade execution rate.
Help Us Fight Scams. Please Donate to Support Our Work. No Amount is too Little or too Big. Thank You..
February 8, 2019 By Ghazanfar
The phrase ‘Necessity is the mother of invention’ seems true for Iran. This is because Iran has unveiled its own...
February 8, 2019 By Ghazanfar
In spite of long bear market, Bitcoin transactions per day are increasing. Today the level of these transactions has touched...
February 4, 2019 By Ghazanfar
Although bear market in crypto world is extending, yet many fiat currencies are facing the threat of destabilization. This is...
February 4, 2019 By Ghazanfar
In spite of mix signals from the cryptocurrency world about the future of cryptocurrencies, many countries are planning to test...
February 3, 2019 By Ghazanfar
The idea of Bitcoin adoption as an international currency is not at all new. Over the years, many financial experts...
February 2, 2019 By Ghazanfar
Bitcoin’s entry into the longest ever bear market in history is one of the most burning issues of today. The...
Valforex.com cannot be held liable for any damages incurred due to the usage of any information displayed on this website. The information and trading guides found on the website constitute the authors’ opinion only. Both Forex and Binary options involve high-risk and are not suitable for all investors. Either Forex or Binary options may not be legal in your jurisdiction. It’s visitors’ responsibility to make sure these entities are legal in their jurisdiction before engaging in trading activity… Read More