FX.co ★ Technical analysis of USD/CAD for October 12, 2016

General overview for 12/10/2016:

The top for the wave -b- might be in place at the level of 1.3272, but it is worth to notice that this corrective cycle might evolve into a more complex structure. Currently, the price is still trading below the golden trend line, so any rally attempt should be limited. The most important level is the gray zone labeled as demand zone, as any break out below this zone would indicate the corrective cycle is now completed. Moreover, the growing bearish divergence supports the bearish outlook.

Support/Resistance:

1.3312 - Intraday Resistance

1.3281 - Previous High

1.3229 - Weekly Pivot

1.3139 - Intraday Support

1.3147 - WS1

Trading recommendations:

Day traders should consider opening sell orders from current market levels with tight SL and TP set at the level of 1.3186.