FX.co ★ Overview of USD / CAD with a forecast for August 22

The Canadian dollar rate is strengthening against the US currency in the cross since the beginning of May. The fall in the price values of the pair slowed only this month. There is still no talk about changing the direction of the trend. Calculation of the preliminary lift potential indicates the formation of a correction. Given the shape of its structure, the boundaries of the nearest control area are the most likely completion zone.

The rollback of the last days is close to the end. The calculated support zone appears to be the most likely area for changing direction.

At the next trading session, the current phony mood should be replaced by signals of the beginning of the growth rate. There is an attempt to pressure the support zone. An active price rise is expected at the end of the day or tomorrow.

The boundaries of the resistance zones:

- 1.2605 / 1.2635

The boundaries of the support zones:

- 1.2550 / 20

Explanations to the figures: For simplified wave analysis, a simple type of wave is used that combines 3 parts (A; B; C). Of such waves, all kinds of correction are composed and most of the impulses. On each considered time-frame the last, incomplete wave is analyzed.

The zones marked on the graphs are indicated by the calculation areas in which the probability of a change in the direction of motion is significantly increased. Arrows indicate the wave counting according to the technique used by the author. The solid background of the arrows indicates the structure formed, the dotted one indicates the expected wave motion.

Note: The wave algorithm does not take into account the duration of the tool movements in time. The forecast is not a trading signal! To conduct a transaction, you need to confirm the signals used by your trading systems.