FX.co ★ Technical analysis of USD/CAD for January 15, 2015

General overview 15/01/2015 09:10 CET

The market made another higher high, just as anticipated, and currently the corrective cycle might be developing. To confirm this Elliott wave count, the price must break out below the intraday support at the level of 1.1923 and continue lower. Moreover, breaking out of the golden channel is another bearish sign and there is a possibility that the weekly pivot at the level of 1.1829 might be tested at some point of time. Nevertheless, please, remember that the market is in the corrective cycle wave 4 green and in the mid-term there is another wave to the upside coming once the correction is finished.

Support/Resistance:

1.1829 - Weekly Pivot

1.1923 - Intraday Support

1.1926 - WR1

1.1987 - WR2

1.2000 - Intraday Resistance

1.2015 - Swing High

Trading recommendations:

Daytraders should consider opening sell stop orders from the level of 1.1921 with SL above the level of 1.2000 and TP at the level of 1.1829.