USDCAD is turning up strongly this month from 1.2460 with more than 400pips bounce so far, which is not a surprise at all. Keep in mind that such sharp reactions are very common after a completed ending diagonal. Well, usually when this pattern is finished price will tend to return back to the start point of the pattern which in our case is near 1.3180. This is far away so we expect more gains after current pullback is finished which can be more complex than at first sight. We are tracking now an A-B-C decline in wave 2) where price can again retest an important 1.2750 area from where we expect a turn up this week.
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