USDCAD has been trading nicely to the upside for the last few weeks, away from 1.2127 where we called the end of wave 2) back in mid-June. However, this uptrend could slow down in the next few days as we the see pair trading in the fifth wave of an extended red wave 3) which may be looking for resistance near 1.3000 area. However, extended waves are always possible, especially in a strong bull market like this, so we would not be surprised if the pair pushes on towards the 1.3200-1.3300 area this summer.
USDCAD 4h Elliott Wave Analysis
On the intraday chart USDCAD is trading nicely higher since the start of July, but is now already in the fifth wave of an impulsive cycle from 1.2127 so gains can be limited. The ideal projected level for a top is at 1.3050, but any earlier move down beneath 1.2900 would indicate that a blue wave (v) is done and downward correction underway.
USDCAD 1h Elliott Wave Analysis