USD/CAD Elliott Wave
Yesterday the USD/CAD pair was trading in sideways movement.During the early European session we could observe the price testing a 200EMA support at the 1.0205 level. We can consider this downward movement as the end of the A wave (coloured blue). Therefore during the New York session we could observe the ascending movement towards the 1.0268 level (daily high). During the end of the session the price pushed back to the 1.0220 level. Today in the course of Asian session the USD/CAD pair started pushing higher and price is currently testing yesterdays high so we expect the price to reach 1.0288 level before this major continued trading in a bearish mood. In accordance with our wave rules and taking into account that the wave 4 retraces 50% of the wave 3, we can define the potential targets with Fibonacci retracement (0.9956-1.0310) with Take Profit 1 at 1.0175 (38.2% of wave 3) and Take Profit 2 at 1.0134 (50% of wave 3). The resistance level at 1.0270 can be used as Stop Loss. Also it is necessary to consider the data concerning the CAD RMPI m/m, IPPI m/m and USD Pending Home Sales m/m that can affect the rate of the pair.

Support and Resistance Levels
(S3) 1.0171 (S2) 1.0194 (S1) 1.0209 (PP) 1.0233 (R1) 1.0256 (R2) 1.0271 (R3) 1.0295

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 1.0280 with Stop Loss at 1.0300, Take Profit 1 at 1.0175 and Take Profit 2 at 1.0134 are recommended