FX.co ★ USD/CAD candlestick analysis for March 3, 2011

On a 4-hour graph the USD/CAD has made an unsuccessful attempt to test the Fibonacci correction level 23.6 to rebound further.
Earlier on a 4-hour graph the USD/CAD currency pair has formed a Hammer candlestick indicating upside movement.
This candlestick was formed on the downtrend after the pair reached the 0.9680 low, where the bears could not solidify and the bulls started to increase their influence.
If the Fibonacci correction level 23.6 is successfully broken, this will denote that this viewpoint is correct. In this case an advance to the resistance level 0.9820, where the Fibonacci correction level 38.2 is also located.
On the other hand, if the 0.9680 level is broken, long positions should be closed as it will lead to a decline to 0.9650 with further target at 0.9600.