Short term Elliott Wave view on USDCAD suggests cycle from 8.11.2022 high is in progress as a 5 waves impulse structure. Down from 8.11.2022 high, wave 1 ended at 0.9864 and rally in wave 2 ended at 1.0198. Pair has resumed lower in wave 3 towards 0.9536. Down from wave 2, wave ((i)) ended at 0.9943 and rally in wave ((ii)) ended at 1.0052. Pair then resumes higher in wave ((iii)) towards 0.9548 and rally in wave ((iv)) ended at 0.9701. Final leg lower wave ((v)) ended at 0.9532 which completed wave 3.
Wave 4 rally is now in progress to correct cycle from 9.12.2022 high in 3, 7, or 11 swing before it resumes lower. Internal subdivision of wave 4 is unfolding as a zigzag structure where wave ((a)) ended at 0.975 and pullback in wave ((b)) ended at 0.9632. Expect pair to extend higher in wave ((c)) towards 0.9855 – 0.999 area. This is where wave ((c)) will reach 100% – 161.8% Fibonacci extension of wave ((a)) and pair should complete wave 4. From the blue box area, pair should then extend lower or pullback in 3 waves at least.
EURUSD 60 Minutes Elliott Wave Chart