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Technical analysis of USD/CAD for September 15, 2014

General overview for 15/09/2014 09:15 CET


The wave development is behaving as anticipated with all target levels from last week hit already. The momentum indicator is showing a clear bearish divergence forming/ So, it is another clue that supports the view, that the top for red wave 5 is near or it is in place already. Currently, the market might be in two possible stages: either the top for wave red 5 is in place (main count), or the corrective cycle in red wave 4 is getting a little more complex in price and time (alternative count). The key level here is the lower boundary of the golden trend channel at the level of 1.0978, because any breakout lower is in favor of a main count.


Support/Resistance:

1.1097 - Swing Top

1.1037 - Weekly Pivot

1.1027 - Intraday Support

1.0978 - WS1|Key Level|


Trading recommendations:

All swing traders that are still keeping buy orders from last week should get ready to close the positions and wait for a further wave progression as the trend looks mature and reversal/correction is possible.


usdcad_h1.jpgThe material has been provided by InstaForex Company - www.instaforex.com