Intraday pivot point:
- 1.0572
Overview:
- The market continues showing signs of strength following the break at 1.0521 (resistance has become support). Therefore, the USD/CAD's resistance has been broken and it was turned to support two weeks ago (November 21, 2013). Moreover, the pair has already formed a strong support at the level of 1.0521. So the market indicates a bullish opportunity at the level of 1.0520 with the first target of 1.0570 and continues towards 1.0650.
- However, if the trend fails to break this level and closure above 1.0675, then a downside momentum is rather convincing and the structure of the fall looks not corrective. Additionally, the market will indicate a bearish opportunity at 1.0670, hence it will be a good sign to sell at this level. Then, below 1.0670, look for further downside with a target of 1.0566.
Intraday technical levels:
- R3: 1.0684
- R2: 1.0643
- R1: 1.0613
- ------------
- S1: 1.0542
- S2: 1.0501
- S3: 1.0471
Observations:
- Key level is at 1.0566.
- Range: 71 pips.
- A risk to reward ratio of 1:1.5 is recommended; risk of 71 pips must make a profit of 106.50.
