USD/CAD intraday technical analysis and trading recommendations for April 5, 2013
April 5, 2013 3:30 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 which was visited earlier this week. It is important to note that support is located around 1.0130 (50% Fibonacci) then 1.0100 (61.8% Fibonacci level) where profits of the SELL orders should have been taken. On the 4H chart, we mentioned that price action indicates bullish rejection around 50% Fibonacci offering a BUY entry. This BUY entry is running in profit now. Price Zone 1.0210-1.0230 corresponds to a downtrend line that’s depicted on the 4H chart that is why profits should be taken to offset some risk and price action should be watched for a possible short-term SELL entry to be taken.
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 which was visited earlier this week.
It is important to note that support is located around 1.0130 (50% Fibonacci) then 1.0100 (61.8% Fibonacci level) where profits of the SELL orders should have been taken.
On the 4H chart, we mentioned that price action indicates bullish rejection around 50% Fibonacci offering a BUY entry. This BUY entry is running in profit now.
Price Zone 1.0210-1.0230 corresponds to a downtrend line that’s depicted on the 4H chart that is why profits should be taken to offset some risk and price action should be watched for a possible short-term SELL entry to be taken.
The material has been provided by InstaForex Company – www.instaforex.com
Related Posts: