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

General overview for 15/12/2015 07:30 CET

The market had reached marginal new high, but then reversed quickly. The intraday support level of 1.3677 acted the support line as the price bounced from this level. A decline towards the support level was impulsive and the whole trend looks mature now as all five waves present. Please notice the bearish divergence supports the view that the top for the wave B purple is in place. To confirm the top is in place, the market must break below the technical support level of 1.3621.

Support/Resistance:

1.3779 - Intraday Resistance

1.3679 - Intraday Support

1.3646 - Weekly Pivot

1.3621 - Technical Support

Trading recommendations:

Swing traders should consider closing long-term buy orders as the cycles in the higher time frames suggests possible completion of the five wave impulsive development and an imminent corrective cycle.