Canadian Dollar Chopping Lower

The USDCAD may be forming a base from which to work higher. There is little doubt that the decline from 1.1825 is a 3rd wave.

Therefore, any rally should be treated like a correction as a 5th wave decline will eventually take the USDCAD to lower levels. Initial resistance is the 4/19 high at 1.1309. The next support level is the 10/30/2006 low at 1.1176.