Primary Wave Outlook on Euro CAD

27 במאי 2014

First this pattern appears quite difficult to read. But once you put the targets into perspective, one witnesses that the primary wave 3 (iii) is an exact 1.618 Fibonacci extension of wave 1 (i). By this token if the count ratio of 1:1.618:1 is to hold, then the next primary wave high is going to be ~ 1.64 level, which is a hefty ~1100 pips gain.

I would certainly remain bullish on this currency pair, but would trade the high's and lows of RSI, Stocastic, and review MACD cross overs.