USD/CAD H1 analysis for August 15, 2013

General overview for 15/08/2013 09:30 CET:

Deep retrace in shape of the ZigZag in this corrective wave iv has almost reached invalidation line for the impulsive count.

If the invalidation line at 1.03000 is broken, then test of thick golden trend line is expected.

Any price breakout below 1.0273 will invalidate the immediate impulsive wave progression and more complex and time consuming wave (ii) will be expected.

On the other hand, to confirm further bullish wave development, price must break above wave b high and technical resistance at 1.0347 zone and then test and break the descending trend brown trend line.

Further break out above 61%Fibo will confirm more upward wave progression.

Support/Resistance:

1.0273 - Swing Low

1.0300 - Invalidation Line | Key Level |

1.0327 - Weekly Pivot

1.0347 - Technical Resistance

1.0368 - Intraday High

1.0380 - WR1

Trading recommendations:

As long as invalidation line is not taken out bias is still to the upside.

If invaliadation line is broken then more lower prices are expected: below 1.0273 next support is 1.0245.