Technical analysis of USD/CAD for February 16, 2015
The market has crossed out of the golden corrective channel and experienced it in form of the wave b green. Now, the price is supposed to continue lower, but please keep in mind, that the wave b green might not have been ended yet and market might try to confirm the weekly pivot at the level of 1.2506, before reversing to the downside.
However, the key level for bulls is the intraday support at the level of 1.2418, as any breakout lower confirms the movement to the technical support at the level of 1.2348. The expected target for wave Y brown is the orange rectangle area between the levels of 1.2252 – 1.2231.
- 1.2783 – WR2
- 1.2590 – WR1
- 1.2536 – Intraday Resistance
- 1.2506 – Weekly Pivot
- 1.2418 – Intraday Support
- 1.2348 – Technical Support
- 1.2250 – 1.2231 – Projected Target Zone
The sell orders from the last week should be still kept open and SL should be kept above the level of 1.2565 (entry was 1.2543, so it is only 22 pips). First level to add to the existing sell orders should be at the level of 1.2415. First TP orders should be placed at the level of 1.2349.