FX.co ★ USD/CAD intraday technical analysis and trading recommendations for January 29, 2013

The USD/CAD pair strongly rose last week pushing steadily above psychological barrier 1.0000. The upside move might extend during this week towards 1.0150 - 1.0235 zone and the possibility of a bullish move remains valid unless 0.9920 - 0.9960 zone was broken.

The trading range for this week is expected to be between key support around 0.9900 and key resistance around 1.0240.

Obvious bearish price action is seen around price levels of 1.0100 which is manifested in inverted "hanging-man" daily candlestick giving early indications that the bullish momentum may have faded away.

Support: 1.0050, 1.0010, 0.9960, 0.9915, and 0.9830

Resistance: 1.0120, 1.0155, 1.0205, and 1.0270

Recommendation: Based on the charts and analysis above, the best opinion is watching the price action around 1.0150 where bullish momentum can fade away to take a low risk SELL entry.
Buying the pair is recommended above 0.9920 targeting 0.9970, 1.0120 then 1.0205 and SL as 4H closure below 0.9900.