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FX.co ★ Technical analysis of USD/CAD for Febuary 5, 2016

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Forex Analysis:::2016-02-05T07:23:12

Technical analysis of USD/CAD for Febuary 5, 2016

General overview for 05/02/2016:

Another local low has been reached overnight, but the increasing bullish divergence was about the possible upward rally. A double bottom alternative could rake place in the chart when bears, who have been keeping sell orders during a week, might want to take profit before the weekend and make the price run to the upside. If the price moves to the level of 1.3907, it will be the biggest corrective cycle in the whole downward channel. This might be the first indication that the bullish trend is resuming.

Support/Resistance:

1.4690 - Swing High

1.4553 - WR3

1.4436 - WR2

1.4173 - WR1

1.4061 - Weekly Pivot

1.3798 - WS1

1.3781 - Intraday Resistance

1.3682 - WS2

1.3640 - Intraday Support

Trading recommendations:

Sell orders from yesterday have hit the TP and now should be closed.

For today, we will try a contrarian trade and buying at the level of 1.3785 with SL below the level of 1.3640 and TP at the level of 1.3907.

Technical analysis of USD/CAD for Febuary 5, 2016

Analyst InstaForex
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