USD/CAD Elliott Wave
For the last few days the USD/CAD pair was trading in a downward channel developing corrective (2) (coloured green). Yesterday since the opening of Asian session up to the end of the European session the USD/CAD was trading in a descending movement near the 1.0310 level. Therefore, during the New York session we could observe the continuation of the bearish mood and price reached 1.0270 level. Today during the Asian session the USD/CAD pair was trading in a sideways movement. At the moment we are in the corrective C wave expecting the price to go lower today. In accordance with our wave rules and taking into account that the wave 2 retraces 61.8% of the wave 1, we can define the potential targets Fibonacci retracement (0.9803-1.0444) with Take Profit 1 at 1.0198 (38.2% of wave 1) and Take Profit 2 at 1.0122 (50% of wave 1). Resistance level at 1.0310 can be used as Stop Loss point. Also it is necessary to consider the data concerning the U.S Unemployment Claims, Fed Chairman Bernanke Testifies, FOMC Member Lockhart Speaks and CAD Ivey PMI that can change the rate of the pair.

Support and Resistance Levels
(S3) 1.0196 (S2) 1.0239 (S1) 1.0266 (PP) 1.0309 (R1) 1.0352 (R2) 1.0379 (R3) 1.0422

Trading Forecast
Proceeding from Elliott Wave Rules this week the trend is expected to begin the downward movement. That is why Short positions at level 1.0260 with Stop Loss at 1.0310,Take Profit 1 at 1.0198 and Take Profit 2 at 1.0122 are recommended