USD/CAD Elliott Wave Analysis, 4 Hour Chart, Tuesday, Nov. 7FreepikU.S. Dollar /Canadian Dollar (USD/CAD) 4 Hour ChartUSD/CAD Elliott Wave Technical AnalysisFunction:    TrendMode: impulsive  Structure: blue wave 2 of new trend  Position: black wave 1Direction Next Lower Degrees: blue wave 3  Details: Blue wave 1 looking completed at 1.36295. Now blue wave 2 as a correction is in play. Wave Cancel invalid level:1.39007.The “USD/CAD Elliott Wave Analysis Trading Lounge 4 Hour Chart” dated 7 November 23, delves into a detailed analysis of the U.S. Dollar/Canadian Dollar (USD/CAD) currency pair. This analysis provides critical insights into the market’s behavior, particularly in the context of Elliott Wave theory.The primary function attributed to the market in this analysis is “Trend,” signifying that the USD/CAD currency pair is currently experiencing a directional market movement. A market in a trending state typically sees prices moving consistently in a specific direction, allowing traders and investors to align their strategies with the prevailing sentiment.The “Mode” of the analysis is categorized as “impulsive.” In Elliott Wave theory, an impulsive wave typically indicates a strong and sustained market movement in the direction of the dominant trend. In this case, the mode is described as “blue wave 2 of a new trend,” underlining a correction phase within the broader wave structure.The analysis singles out “blue wave 1,” marking its completion at a price level of 1.36295. This suggests that wave 1, which is part of the broader trend, has concluded, and the market has now shifted into “blue wave 2,” denoting a correction phase. Corrections can be seen as brief pullbacks or counter-trend movements within an overall uptrend.The “Direction” specified in the analysis is “Next Lower Degrees: blue wave 3.” This indicates the anticipation of an upcoming blue wave 3, suggesting a resumption of the broader uptrend after the correction phase.One crucial aspect for traders to note is the “Wave Cancel invalid level,” identified at 1.39007. This level serves as a critical threshold for risk management. If the market approaches or surpasses this level, it could necessitate a reevaluation of the current wave count and trading strategies.In summary, the USD/CAD Elliott Wave Analysis on the 4-hour chart dated 7 November 23, indicates a market in a trending state. After the completion of blue wave 1, a correction in the form of blue wave 2 is now in progress. The analysis anticipates further upward momentum in the form of blue wave 3, with the wave cancel invalid level serving as a crucial reference point for traders’ risk management. This analysis provides valuable guidance for traders and investors looking to make informed decisions in the USD/CAD market.Technical Analyst: Malik AwaisSource: Tradinglounge.com More By This Author:Elliott Wave Technical Analysis: ADAUSD – Tuesday, November 7
Elliott Wave Technical Analysis: DOGEUSD: Monday, November 6
Elliott Wave Technical Analysis: Pepsi Co. Inc Monday, November 6