Using the start of the trend line as the base and the peak of the head as the top, the 61.8% retracement matches up with the head and shoulders 100% extension of the neck line. Before hitting that target is the 50% retracement of the trend which also matches the H&S 61.8% extension (what are the odds?), where I suspect will be a pit stop before the price hits $1.8674.
Fundamental Outlook: Canada's GDP news on Tuesday could be the catalyst for bringing the price to target, considering Oil was noticeably higher in the month of March compared to February (13 year low hit in Feb) and Oil is a contributing factor for Canada's GDP. They report the MoM on Tuesday, and although their YoY oil revenues will be lower, the MoM will have a larger impact towards currency price momentum.
Alternatively, the price could continue moving up, using the trend line as a support.. Wait for the break @ 1.8987!
Comments
tropicalbeach
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Target met. Right shoulder grew bigger but did not threaten the goal. I'm not sure where this is going for now so I'm closing out and looking at EURJPY. As soon as I determine a price target for that one I will post.