FX.co ★ USD/CAD intraday technical levels and trading recommendations for July 29, 2014

Since the USD/CAD pair failed to show enough bullish momentum above 1.1200 during the last visit on March 20, the pair has been downtrending within the depicted bearish channel, which managed to push towards the price zone between 1.0910-1.0850 (50-61.8% Fibonacci levels on the daily chart) where a prominent congestion zone was established.

The USD/CAD pair found solid resistance around 1.0910-1.0950 that was able to resume the ongoing bearish momentum when bearish breakout took place on the bearish side.

Bearish projection targets were visited at 1.0725 and 1.0685 respectively (the lower limit of the ongoing bearish channel).

As expected, bullish price action was expressed at retesting 1.0630 which is the origin of the previous bullish impulse initiated in December 2013.

As expected, a valid BUY entry was suggested. Expected targets got visited around 1.0750 and 1.0820.

The USD/CAD pair has a strong resistance level located around 1.0830 (61.8% Fibonacci Level). The bears may apply significant pressure there. A valid SELL position can be taken at retesting.

On the other hand, the price zone of 1.0760-1.0775 remains as the nearest support to meet the pair. It's the upper limit of the recent congestion zone that got broken.