FX.co ★ Technical analysis of USD/CAD for August 11, 2014

General overview for 11/08/2014 09:10 CET

The corrective cycle is getting more complex and time consuming now. Two possible count are available. The first one indicates an irregular flat correction present in purple wave b. So, now one more leg to the downside should be expected to completed the whole cycle in corrective red wave 4. The other alternative scenario indicates a possibility of a triangle in wave 4 (alrternative labeling) and a final leg to the upside in red wave 5 that looks like almost completed. The target for that final leg would be at the level of 1.1011. On the other hand, breakout below intraday support at the level of 1.0945 is a little bit more bearish and chances for purple wave c to the downside are increased then.

Support/Resistance:

1.1011 - WR1

1.0985 - Intraday Resistance

1.0957 - Weekly Pivot

1.0945 - Intraday Support

1.0928 - WS1

1.0904 - Techncial Support

1.0875 - WS2 | Wave 4 Red Target Level |

Trading recommendations:

Please, refrain from trading this pair until the corrective cycle is completed.