In this Technical blog, we are going to take a quick look at the past performance of EURCAD Elliott Wave charts that we presented to our clients. We are going to explain the structure and the forecast. As our members knew, we were pointing out that the sequence from March 20 high 1.6153 is incomplete to the downside. Therefore, we advised our members to avoid buying into proposed bounces. And should be rather looking for selling opportunity based on the incomplete bearish sequence to the downside from March 20 peak. So let’s take a quick look at the performance of our past 1 Hour charts below.
EURCAD Elliott wave 1 Hour Chart from May 7 NY updated
Above is the 1-hour Chart from May 7 NY updated, in which pair is showing a decline from a secondary peak at 1.5715 in 5 waves impulse. Those 5 waves impulse, were expected to be part of a zigzag structure. Because the internal distribution of first 3 swings decline from March peak were unfolded in corrective sequence. Thus favored us to label that decline in proposed Minute wave ((a)) of a possible Zigzag structure. Now coming back to the decline from 1.5715 high, the pair after ending the 5 waves decline was due a bounce soon. As Elliott wave states that after ending the 5 waves there should always be a 3 wave recovery/pullback. Before another extension into the direction of the previous trend starts. Therefore our strategy was to avoid buying it. And selling those bounces in 3, 7 or 11 swings in Minute wave ((b)).
EURCAD Elliott Wave 1 Hour Chart from May 8 Asia updated
Above is the 1-hour Elliott wave Chart from May 8 Asia updated, in which the pair is showing the bounce happening in Minute wave ((b)) for the correction of 1.5715 high. And it was expected to see a push higher towards 1.5418-1.5461 100%-161.8% Fibonacci extension area of smaller degree wave (a)-(b). Before it ends the short-term correction. And find seller’s for new lows ideally or for 3 wave reaction lower at least. So our strategy was to sell the pair at the blue box looking for more downside.
EURCAD Elliott Wave 1 Hour Chart from May 9 NY updated
Here’s the 1-hour chart from yesterday NY update, showing pair failing in the blue box area as expected. The pair then formed the peak in Minute wave ((b)) at 1.5446 high. And any shorts from the blue box area are risk-free already (stop loss on entry level). Currently, as far as bounces fail below 1.5446 high the pair is expected to see more downside towards 1.5140 potential target area for shorts. We don’t like chasing the weakness now. And prefer staying short with a risk-free position.
Keep in mind that the market is dynamic and the view could change in the meantime. Success in trading requires proper risk and money management as well as an understanding of Elliott Wave theory, cycle analysis, and correlation. We have developed a very good trading strategy that defines the entry. Stop loss and take profit levels with high accuracy. And allows you to take a risk-free position, shortly after taking it by protecting your wallet. If you want to learn all about it and become a professional trader, then join our service with Special Promotion.