Technical analysis of USD/CAD for March 16, 2016
General overview for 16/03/2016:
The projected target for the wave B at the 1.3383 level has been hit as expected. Nevertheless, the market might extend the corrective cycle even higher towards the level of 1.3446. When the corrective cycle in the blue wave B is completed, the trend should continue lower towards the 1.3106 level. The first sign of the downtrend continuation comes with an intraday channel break-out and another test of the weekly pivot at 1.3275. Please notice, that the most important thing we are now keeping an eye on is the character of any rally: impulsive or corrective. This will help to determine whether the low for the wave alt:Z brown is the termination of the whole corrective cycle or not.
Support/Resistance:
1.3106 - WS1
1.3163 - Intraday Support
1.3275 - Weekly Pivot
1.3383 - WR1
1.3446 - Intraday Resistance
1.3554 - WR2
1.3662 - WR3
Trading recommendations:
Day traders should sell into the strength of the blue wave B with SL above 1.3446 and TP at 1.3106.
The material has been provided by InstaForex Company - www.instaforex.com
