USD/CAD Explanation of most recent high (fib ext. & projections)

12 May 2018

The high reached a resistance level that was confirmed by the confluence of regions in yellow of the fib external and fib projections levels at 127.2% and 38.2%, respectively. The uptrend wave extended beyond the 100% retracement to the extended zone up to the most recent high. The fib projections showed that the previous uptrend wave before the most recent high surpassed the 100% retracement to the extended zone along with the correction wave retracement of 38.2% which formed the resistance level that was confirmed by the confluence to the external retracement level at 127.2%.