FX.co ★ The technical analysis of USD/CAD for 27/09/2010

Support levels: 1.0188, 1.0101, 1.0050
Resistance levels: 1.0385, 1.0511,1.0569

On 4-hour chart, the USD/CAD currency pair shows high volatility. Presently, the viewpoint is neutral. The fact that USD/CAD has broken through the resistance level of 1.0360, probably means that the rollback from the mark of 1.0680 is over. Nevertheless, if the pair breaches the level of 1.0385 it will confirm this viewpoint. In this case, the upward movement with target at 1.0511 is expected.
However, if the pair breaks through the support level of 1.0188, it will denote that the breakdown of the resistance level was false and the decline to the mark of 1.0101 is expected.
In a midterm, the USD/CAD continues the uprising movement after it formed bottom at 0.9930. A breakthrough of 1.0680 will confirm the upward trend as well as the downward trend with 1.3063 is breached. In this case, it is expected that the USD/CAD pair will go up to Fibonacci correctional level of 38.2 from 1.3063 to 0.9926 at 1.1126 with the next target at Fibonacci correctional level of 61.8 at 1.1866.