Commentary: We wrote yesterday that “the large double zigzag that we proposed may be complete. The USDCAD has run into resistance from former congeston (circled) and the 50% of 1.0866-.9055 at .9961.”
A 5 wave decline is complete at .9835 and a setback is unfolding now as either larger wave 2 or B. The rally has stalled at the 50% of 1.0002-.9835. Potential resistance is at the 61.8% at .9936. The next leg lower should challenge .9700.
Strategy: Bearish against 1.0002, target .9710