FX.co ★ Technical analysis of USD/CAD for October 8, 2014

Overview:

• Today, the USD/CAD pair is going to call for a sideways market on October 8, 2014 and the price will probably be trapped between the level of 1.1260 and the 1.1100 level in order to form a range of 178 pips this week. The support sets at the level of 1.1100, therefore, the bulls are going to buy above 1.1100 with a first target of 1.1183, it might resume to 1.1265. It should be also noted that a double top is going to set at the price of 1.1270. If the trend reflected and start showing the signs of bearish market below the leve of 1.1100; then the stop loss should never exceed your maximum exposure amounts. Hence, set the stop loss below the level of 1.1100. 
• On the other hand, the support is set at the level of 1.1100, so the trend will call for a bearish market below this level of 1.1100 because there are a minor bearish channel, 

Note:

• We expect a range of 178 pips this week.
• So, the risk to reward ratios are important and should be calculated, then a risk (119 pips) reward ratio of 1:1.5 is recommended must make a profit of 178 pips.

Intraday technical levels:

Date and Time:8/10/2014 13:00 

Pair:USD/CAD 

• R3: 1.1264
• R2: 1.1230
• R1: 1.1198
• PP: 1.1164
• S1: 1.1132
• S2: 1.1098
• S3: 1.1066