FX.co ★ Technical analysis of USD/CAD for January 11, 2017

General overview for 11/01/2017:

The sideways trending market is now more evident as no breakout was attempted since Friday last week. The growing bullish divergence between the price and momentum oscillator indicates a stronger bounce towards the 50%Fibo at the level of 1.3390. Nevertheless, the most important zone for bulls is the gray rectangular area between the levels of 1.3437 - 1.3460. Only a sustained breakout above this zone in the impulsive fashion will confirm the wave 3 is in progress and a new high will be made in this market.

Support/Resistance:

1.3101 - WS1

1.3177 - Intraday Support

1.3266 - Intraday Resistance

1.3280 - Weekly Pivot

1.3383 - WR1

1.3350 - 50%Fibo

1.3437 - 61%Fibo

1.3460 - Technical Resistance

Trading recommendations:

Daytraders should consider opening buy orders only if the level of 1.3266 is clearly violated. If the low for the wave 2 or (b) is in place then the price should target the level of 1.3383.