USD/CAD intraday technical levels and trading recommendations for December 31, 2013
December 31, 2013 3:45 pm
The most prominent support zone was located around 1.0250. On September 19, the pair expressed a false breakdown reaching 1.0180 where an obvious bullish rejection was expressed to get the pair back above 1.0250 again resulting in a bullish Hammer weekly candlestick.
As expected, the bullish momentum was expressed at retesting of the lower limit of the ongoing channel around 1.0280 pushing it higher towards 1.0460, and then 1.0500 which was bypassed.
Few weeks ago, the bulls established another ascending bottom around 1.0400 after a period of consolidation between 1.0400-1.0500.
Daily fixation above 1.0475 enabled the pair to reach 1.0575, 1.0600, and then 1.0650 where a previous top “established in October 2011” was located.
The price level around 1.0570 was mentioned to be the nearest support level for the pair.
In the previous articles, price zone of 1.0650-1.0700 was suggested for a possible sell position, profits were taken at 1.0570 to avoid bullish rejection that took place shortly after.
This week, the bulls managed to fixate above 1.0650 (Full Bullish Daily Candlestick). This enabled them to initiate a new ascending impulse towards 1.0700 which prevented further bullish advancement after recording a daily high at 1.0735 when a bearish engulfing daily candlestick was expressed.
The USD/CAD pair is probably establishing a Triple Top pattern especially after the bearish engulfing daily candlestick of yesterday. This needs momentum confirmation by 4H closure below 1.0570
On the other hand, daily fixation above 1.0650 will be another bullish signal for a possible bullish impulse towards 1.0770 initially.
The material has been provided by InstaForex Company – www.instaforex.com
The most prominent support zone was located around 1.0250. On September 19, the pair expressed a false breakdown reaching 1.0180 where an obvious bullish rejection was expressed to get the pair back above 1.0250 again resulting in a bullish Hammer weekly candlestick.
As expected, the bullish momentum was expressed at retesting of the lower limit of the ongoing channel around 1.0280 pushing it higher towards 1.0460, and then 1.0500 which was bypassed.
Few weeks ago, the bulls established another ascending bottom around 1.0400 after a period of consolidation between 1.0400-1.0500.
Daily fixation above 1.0475 enabled the pair to reach 1.0575, 1.0600, and then 1.0650 where a previous top “established in October 2011” was located.
The price level around 1.0570 was mentioned to be the nearest support level for the pair.
In the previous articles, price zone of 1.0650-1.0700 was suggested for a possible sell position, profits were taken at 1.0570 to avoid bullish rejection that took place shortly after.
This week, the bulls managed to fixate above 1.0650 (Full Bullish Daily Candlestick). This enabled them to initiate a new ascending impulse towards 1.0700 which prevented further bullish advancement after recording a daily high at 1.0735 when a bearish engulfing daily candlestick was expressed.
The USD/CAD pair is probably establishing a Triple Top pattern especially after the bearish engulfing daily candlestick of yesterday. This needs momentum confirmation by 4H closure below 1.0570
On the other hand, daily fixation above 1.0650 will be another bullish signal for a possible bullish impulse towards 1.0770 initially.
The material has been provided by InstaForex Company – www.instaforex.com
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