FX.co ★ The technical analysis of the USD/CAD for 12/10/2010

Support levels: 1.0058, 1.0000, 0.9930
Resistnace levels: 1.0230, 1.0385, 1.0511

On a 4-hour chart, the USD/CAD currency pair rolled back after it declined to the mark of 1.0087. Nevertheless, the viewpoint on the currency pair remains bearish. The breakthrough of the support level of 1.0178 means that the downward movement from 1.0680 continues and the decrease to 0.9930 should be expected. However, if the USD/CAD breaches the resistance level of 1.0230, then the short-term view will be neutral. Further, the breakthrough of the resistance level of 1.0385 will lead to the uptrend to 1.0511.
In a midterm, the USD/CAD moves up after it formed a bottom at 0.9930. The breach of 1.0680 will confirm the upward motion and that the downtrend with 1.3063 is broken through. In this case, it is expected that the USD/CAD will go up to Fibonacci correctional level of 38.2 from 1.3063 to 0.9929 at 1.1126 with the next target to Fibonacci correctional level of 61.8 at 1.1866.