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Wednesday, January 15, 2014

EUR/CAD - Long term Elliott Wave Count

EUR/CAD

Paulina asked me for my opinion on EUR/CAD so here it comes.

Going back to 1998 high at 1.8911 we had an impulsive decline to 1.2450 which is either a wave A or 1. This decline was followed by a very complex wave B or 2 to 1.7505. From 1.7505 we have seen another impulsive decline to 1.2127, which I have counted as wave i and I'm currently looking for wave ii.

As long as important support at 1.4388 protects the downside I will be looking for wave ii higher towards 1.5193 and maybe even higher towards the resistance area between 1.5451 - 1.5566, from where we should see the next impulsive decline below long term important support at 1.2127.

The alternate count is, that a triangle is building with wave A and B in place and wave C unfolding. If a triangle is building, then we should expect the ongoing rally to continue higher towards 1.6525. 

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