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17.02.2014 06:25 PM
USD/CAD intraday technical levels and trading recommendations for February 17, 2014

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The bulls managed to hit fresh highs (around 1.1220) that haven't been visited since 2009.

Recently, USD failed to keep its gains against CAD, and the USD/CAD pair was pushed to the downside indicating weakness of the ongoing bullish momentum.

Friday's candlestick came as a bullish hammer. This indicates bullish presence around the price level of 1.0960.

It's important to note that the pair established a consolidation zone between 1.0850 and 1.0960. This renders the zone as a support area.

Breakdown of 1.0960 opens the way directly towards 1.0850 which comes to meet the uptrend line depicted on the chart. This may provide a valid BUY entry with SL as daily closure below 1.0850.

On the other hand, the nearest resistance zone is located around 1.1230-1.1250 corresponding to the 50% Fibonacci level of the bearish swing that extended between March 2009 and July 2011.

Mohamed Samy,
Analytical expert of InstaForex
© 2007-2024
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