05.02.201417:38 Forex Analysis & Reviews: USD/CAD intraday technical levels and trading recommendations for February 5, 2014

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Bulls have managed to hit fresh highs (around 1.1220) since 2009.

Temporarily, USD failed to keep its gains against CAD, and the USD/CAD pair was pushed to the downside, thus indicating weakness of the ongoing bullish momentum. This is manifested in the recent weekly candlestick closures depicted in the chart.

The prominent resistance zone is located around 1.1230-1.1250 corresponding to 50% Fibonacci level of the bearish movement that had been extending since March 2009 and ended in July 2011.

The pair has a significant support zone between 1.0700 and 1.0730 representing the upper limit of consolidation range that got broken last month.

Re-testing of this zone would probably provide a valid BUY entry for the mid-term.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.