FX.co ★ Techncial analysis of USD/CAD for June 20, 2016

General overview for 20/06/2016:

The downward corrective structure in wave 2 looks so far as a typical zig-zag structure, so it might target the 61%Fibo at the level of 1.2819 before it will terminate. Nevertheless, it is worth to mention that this king of correction might evolve into a double or even triple zig-zag, so as long as the level of 1.2654 is not clearly violated, the price is trading inside of the neutral zone, and it might evolve into a more complex and time-consuming pattern.

Support/Resistance:

1.2654 - Wave X Bottom

1.2729 - WS1

1.2819 - 61% Fibo

1.2827 - Intraday Support

1.2895 - Intraday Resistance

1.2907 - Weekly Pivot

1.3063 - WR1

Trading recommendations:

The first impulsive wave has been made after a long-term corrective cycle had bottomed, so the bias is to the upside. Buying the dips in this market with SL below the level of 1.2654 is the way to trade it now.