EUR/CAD ? Still Have More Bullish Momentum ?

3 min read
Adarwish

adarwish

Author

Hi traders,

EUR/CAD developed a bearish momentum during the last few weeks… It seems now that this bearish momentum is almost over and the pair starts now a new bluish momentum aiming for more upside… We will review different scenarios as the pair can either bounce for an uptrend or expand the bearish momentum.

This article will discuss the wave perceptive and expected scenarios for the pair during the coming days using wave pattern, support, and resistance and SWAT software.

EUR/CAD Building a New Wave Pattern

As seen in the below chart, the pair developed a new bullish momentum… In my view, this pattern seems 5 waves up and the price could now be developing a wave 3, here are the main conclusions:

  • Wave 3 must go beyond Wave 1.
  • Wave 3 is always animpulsive 5 wave.
  • Wave 3 is never the shortest wave.

I’m also expecting more upside as price seems to be completing a bigger bearish correction within an uptrend on the daily chart. For the moment I expect more for upside to finish this expected wave pattern.

We still need more confirmation before trading this pair because price could also be buidling ABC rather than 123… in the next paragraph, we will discuss this development by using SWAT software.

EUR/CAD SWAT CHART

Now its time to use the SWAT 4-hour chart to determine the entry points according to the expected wave patterns… The price is moving to the upside but still, need some developments to happens before we tread this pair…  Here are the main developments to consider:

  • Need a strong bearish candle to break 144EMA.
  • And also to break Wizz level 4.
  • Retracement back to level 4.
  • Our expected target is wizz level 5 and 6.
  • I advise traders always to protect their profit or use trailing stops.

So in my view, traders should wait for the confirmation before trading this pair and look for buy opportunity only as it matches the expected wave.

Good trading,

Ahmed
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