In our past update we noted that wave B) from 1.0440 is incomplete and headed to 1.0050. Well, late last week prices hit 1.0065 and reversed sharply higher, clearly in impulsive formation on lower time frame. Thats an important evidence of a completed wave B), which means that market is ready for an uptrend continuation into wave C) of (E).

We are bullish on USDCAD and will become even more bullish when price breaks through the upper channel resistance line.