Commentary: We wrote yesterday that “a bearish objective for the end of wave 3 in the 5 wave bearish cycle from 1.1875 is at .8986. With the low today at .9055, the potential for a corrective rally to begin rather soon is high.”
The rally has started and we expect the advance to continue until the confluence of the 38.2% of 1.0866-.9055 / former congestion near .9750 before the USDCAD reverses and drops below .9000.
Strategy: Flat (EURCAD looks like a good play….long)