USDCAD - 28th November 2024 | @ 84 Days | -1.53%
Last trade: -1.53% | 'B' class signal detected in USDCAD. Running at an average wavelength of 84 days over 13 iterations since February 2022. Currently troughing.
ΣL Cycle Summary
This is one of those analysis that I really like writing about. The component here has been stationary for years now and is really one of the better periodic features you will find in any financial market. So why did the previous peak not result in a down move of any significance in this particular instance, as all previous peaks have since 2021? It is due to larger, unknown periodic component(s) pushing up, essentially.
The intuitive guess would be to place a larger low at the price trough in August/September of this year and make the fair assumption (based on the shape of this smaller wave) that the phase is hard up. We do know that the next longer component, around 150 days (shown below) did make a trough at that point but it is likely there is an even longer wave influencing price action. The culmination of this evidence lends itself to a possible explosive move upwards from the low of this ~ 80 day wave, coming imminently.
If it does come, watch the media/news for macro rationalisations of price movement as an interesting observation in this instance.
Trade Update
Summary of the most recent trade enacted with this signal and according to the time prediction detailed in the previous report for this instrument, linked below.
Type: Sell - USDCAD 14th October 2024
Entry: 14th October 2024 @ 1.3795
Exit: 28th November 2024 @ 1.4006
Gain: -1.53%