Technical analysis of USD/CAD for March 4, 2014

General overview for 04/03/2013 10:00 CET

The five wave decline might have ended sooner than expected and the price has bounced up from the level of 50% Fibo at 1.1049. Nevertheless, the golden descending trend line still provides the dynamic resistance, and I expect that wave a green will finish somewhere around this level, ideally at the level of 1.1135 and intraday downtrend will resume. Only a sustained break out above the technical resistance at the level of 1.1156 would put this count into question and might even invalidate it.

Support/Resistance:

1.0895 - WS3

1.0967 - WS2

1.0969 - 78%Fibo

1.1016 - 1.1027 Supply breakthrough zone

1.1016 - WS1

1.1038 - Intraday support

1.1081 - Intraday resistance

1.1087 - Weekly pivot

1.1135 - WR1 | Key Level |

1.1156 - Technical resistance

Trading recommendations:

Sell limit orders should be opened at the level of 1.1134 with SL above the level of 1.1161 and TP at the level of 1.0914.