FX.co ★ Technical analysis of USD/CAD for October 15, 2014

General overview for 15/10/2014 12:20 CET

The wave progression is developing as anticipated and still higher highs are being made. It looks like the wave (3) might have been done and internal corrective sub-cycle is being made now. The projected level for this cycle to complete is at the level of 1.1321 and the market should rebound. However, if this level is broken, then the next target for the wave (4) is at the level of 1.1277. Only a clear and sustained breakout below this level would invalidate the bullish outlook and made a corrective cycle more complex and time-consuming.

Support/Resistance:

1.1370 - WR2

1.1321 - Intraday Support

1.1291 - WR1

1.1277 - Technical Support|Key Level|

Trading recommendations:

Daytraders should consider opening buy limit orders from the level of 1.1321 with SL below the level of 1.1276 and TP above the last swing high.