FX.co ★ Technical analysis of USD/CAD for July 18, 2014

General overview for 18/07/2014 11:20 CET

The market is still in a corrective cycle range zone and it has formed a corrective channel. To confirm a further bearish impulsive wave development, the market must break out of the corrective channel, through the intraday support at the level of 1.0722 and violate the weekly pivot at the level of 1.0708. On the other hand, only a breakout above the intraday resistance at the level of 1.0765 would make the corrective cycle more complex and time consuming. Any violation of the level of 1.0794 invalidates the bearish impulsive count.

Support/Resistance:

1.0794 - 50%Fibo |Swing High|Invalidation Line|

1.0765 - Intraday Resistance

1.0722 - Intraday Support

1.0708 - Weekly Pivot

1.0695 - Technical Support

1.0680 - WS1

Trading recommendations:

Sell orders opened yesterday should still be kept open as long as the level of 1.0794 is not violated.