FX.co ★ Technical analysis of USD/CAD for 24/06/2010

Support levels: 1.0141, 1.0103, 1.0015.
Resistance levels: 1.0462, 1.0681, 1.0858.
The USD/CAD currency pair successfully broke the resistance level of 1.0345 that aided it at 1.0681 with next target at 1.0858. This breakout also means that the pullback from 1.0858 is finished at the mark of 1.0141.
However, the pair is still trading in downward channel. If USD/CAD reverses and breaks the support level of 1.0141, a decline to 0.9930 should be expected.
In mid-term outlook, the decrease from 1.0858 casts a shadow of doubt on bullish view of the pair. But considering bullish divergence of daily and weekly MACD, the reversal of the downtrend from 1.3063 should be expected soon. In this case, USD/CAD will move upwards to Fibonacci correction level of 38.2 from 1.3063 to 0.9929 on 1.1126 with the next target at Fibonacci correction level of 61.8 to 1.1866.