USD/CAD intraday technical analysis and trading recommendations for April 16, 2013
April 16, 2013 10:15 am
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 level 1.0085 (61.8% Fibonacci Level) stood as a solid intraday support which provided a good BUY entry which is running in considerable profit now. Price zone 1.0200 – 1.0235 corresponded to a downtrend line and Fibonacci 50% – 61.8% levels. It is depicted on the 4H chart. However, there is a continuation flag pattern being confirmed with daily closure above 1.0210 to have final target at 1.0400. Retesting of the backside of the broken channel around 1.0210-1.0225 will probably provide a valid BUY entry with SL located below 1.0180.
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 level 1.0085 (61.8% Fibonacci Level) stood as a solid intraday support which provided a good BUY entry which is running in considerable profit now.
Price zone 1.0200 – 1.0235 corresponded to a downtrend line and Fibonacci 50% – 61.8% levels. It is depicted on the 4H chart. However, there is a continuation flag pattern being confirmed with daily closure above 1.0210 to have final target at 1.0400.
Retesting of the backside of the broken channel around 1.0210-1.0225 will probably provide a valid BUY entry with SL located below 1.0180.
The material has been provided by InstaForex Company – www.instaforex.com
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