Overview :
- The USD/CAD pair is going to call for a sideways market on December 11, 2014. The price will probably be trapped between the levels of 1.1500 and 1.1443 in order to form a range of 57 pips today. However, risk to reward ratios are important and should be calculated, then a risk (57 pips) reward ratio of 1:1.5 is recommended, it can make a profit of 85 pips. The support sets at the level of 1.1443. Therefore, bulls are going to buy above 1.1443 with the first target at 1.1475, it might resume to 1.1501. It should be also noted that a tripple top is going to set at the price of 1.1501. In consequence, a stop loss should never exceed your maximum exposure amounts. The resistance is set at the level of 1.1500, so the trend will call for a bearish market at the level of 1.1500, since there is a minor bearish channel. Thus, swing trade at 1.1500 in order to sell with the target at 1.0600.
Tools of the chart :
- The market is in sideways . Moreover, the trend was so clear because the price moved higher to 1.1500, but the price of the GBP/USD pair has been rebounding lower towards the level of 1.1443.
- The double bottom is set at the price of 1.1400.
- The level of 1.1410 is the key level to confirm the bullish market.
The material has been provided by InstaForex Company - www.instaforex.com
