A possible move down is shown on chart as purple wave count up to the hourly support zone at 44$ range. The trend turning point predicted a while ago was almost on spot, as all wave counts were complete aligned with other technicals. Unfortunately I don't see any strong reaction for the USDCAD pair yet, which indicates that weakness is still there and CAD behaves strongly. One explanation may be that traders are beaten up badly by false breakouts so far and lost hope. Now they are much more hesitant to jump in long. This is called the sentiment indicator. When almost everyone has lost hope and is bearish, then the USDCAD will turn back up. This is also called Contrarian Strategy. Personally I am on the sidelines as I don't see any pattern of strength yet for the USDCAD. There are lots of PIPs ahead to be made on the long side but one needs to be patient and wait. Good trades..
Comment:
The probable move I have mentioned 2 days ago is now fulfilled almost following the drawn 1-5 wave formation. Amazing isn't it? Now as this move is over, I expect the Oil to move up from here (details will come shortly in terms of how much) and USDCAD shall move down from this point on (check my last USDCAD analysis as well).
