Technical analysis of USD/CAD for April 9, 2015

General overview for 09/04/2015 08:50 CET

The impulsive wave progression had been invalidated yesterday when wave 2 overlapped wave 1. This is the most important reason to change the overall count to the alternative one. In the current count, there is a possibility of a wave 4 green completions, but the wave development still indicates that a more complex and time-consuming corrective cycle might still be in progress. The key level to sustain the impulsive wave progression scenario is intraday support at the level of 1.2505 where bounce in wave -iv- blue is expected. A breakout above the zone located between the levels of 1.2632 - 1.2653 is likely to be the first confirmation of a possible impulsive wave 5 green to the upside

Support/Resistance:

1.2390 - Swing Low

1.2505 - Intraday Support

1.2632 - 1.2653 - Demand Breakthrough Zone

1.2699 - 78%Fibo

Trading recommendations:

Daytraders should consider opening buy positions from the level of 1.2505 with SL below the level of 1.2480 and TP at the level of 1.2632.