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Technical analysis of USD/CAD for January 7, 2015

General overview for 07/01/2015 11:10 CET


The targets from the beginning of the week have been hit overnight as the market had made another higher high in this impulsive wave progression. Moreover, the count has been little changed as the top for wave 5 purple has been moved one leg higher into the projected target zone between the levels of 1.1897-1.1922. This would mean that the market is rather close to complete the five wave impassive sequence and corrective move to the downside can happen any time now. Please notce that the bearish divergence on momentum oscillator supports this view.


Support/Resistance:


1.1935 - WR1


1.1922 - 1.1897 - Projected Wave 5 Target Zone


1.1842 - Technical Support


1.1820 - Intraday Support


1.1753 - Weekly Pivot


Trading recommendations:


Daytraders should consider to open an intraday buy orders from current price levels with SL below the level of 1.1820 and TP at the level of 1.1897.


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