USD/CAD intraday technical analysis and trading recommendations for April 12, 2013
April 12, 2013 2:15 pm
Lack of the bullish steam seemed to exist during the last few weeks and the pair seems to be under negative pressure which was manifested on March 26 in the massive bearish daily candlestick. Bearish rejection around 1.0300 was followed by multiple days of indecision within the same consolidation range 1.0225-1.0330 until the pair gave obvious daily closure below 1.0220 which opened the way towards the projection target at 1.0110. Price zone 1.0200-1.0230 corresponds to a downtrend line. It is depicted on the 4H chart. That is why a short-term SELL entry was suggested within previous articles during this week. As it was expected on Wednesday, breakdown of 50% Fibonacci opened the way immediately towards the next support level around 1.0085 (61.8% Fibonacci). Price level 1.0085 (61.8% Fibonacci Level) stands as a solid intraday support to be watched today for price action, as it may provide a good BUY entry if significant bullish rejection is expressed. However, its breakdown will allow the pair to make another bearish swing which is not expected to happen this week.
The material has been provided by InstaForex Company – www.instaforex.com
Lack of the bullish steam seemed to exist during the last few weeks and the pair seems to be under negative pressure which was manifested on March 26 in the massive bearish daily candlestick.
Bearish rejection around 1.0300 was followed by multiple days of indecision within the same consolidation range 1.0225-1.0330 until the pair gave obvious daily closure below 1.0220 which opened the way towards the projection target at 1.0110.
Price zone 1.0200-1.0230 corresponds to a downtrend line. It is depicted on the 4H chart. That is why a short-term SELL entry was suggested within previous articles during this week.
As it was expected on Wednesday, breakdown of 50% Fibonacci opened the way immediately towards the next support level around 1.0085 (61.8% Fibonacci).
Price level 1.0085 (61.8% Fibonacci Level) stands as a solid intraday support to be watched today for price action, as it may provide a good BUY entry if significant bullish rejection is expressed. However, its breakdown will allow the pair to make another bearish swing which is not expected to happen this week.
The material has been provided by InstaForex Company – www.instaforex.com
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