Canadian Dollar Large 3rd Wave Complete?
Commentary: There may be an intermediate term low (multi-week) at 1.0804 as it is possible to count 5 waves down from 1.1168. 1.0800 is also psychological support. Expectations are for a larger 4th wave to bring price back to 1.1045-1.1194 (23.6%-38.2% of 1.1825-1.0804).
There are short term bullish opportunities against 1.0804 but without concrete evidence of a low in place, and the fact that the upside is countertrend, we prefer to watch how the correction unfolds and look to get bearish for the eventual 5th wave decline to a new low. The corrective move higher is likely to unfold as a flat or a triangle (since the 2nd wave was a sharp correction), so short term range traders will likely see opportunities next week.
Strategy: None
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