FX.co ★ Technical analysis of USD/CAD for April 01, 2014

The pair has been in a down trend from 1.1279. On an intraday basis, if we go through the hourly charts (H1, H4), the pair is taking support at the level of 1.1. For the last couple of hours, the pair has been in consolidation mode and faced resistance at the upper purple line (H1). If the pair gives a breakout above the purple line, it will fly up to 1.11. In Asia's trading session the pair is trading at 1.1051. If the pair trades above the 1.11 level, it will move a bit more upwards towards 1.1169 on an intraday basis. On the down side the 50SMA level of 1.1043 is the key level. If this level breaks, then we will again go back to 1.1 levels, below this, 1.0955 and 1.0910 levels on an intraday basis. If the price breaks the 1.0910, we need to re-analyze the hourly chart for lower levels towards 1.0843 and 1.0589 levels.

INTRADAY-

In the H1 chart, the pair is facing resistance at 1.1056. We recommend entering long positions once the pair trades above the 1.1056 levels for the targets of 1.1078 and 1.11. If the pair croses the 1.11 levels, we will see some more upside towards 1.1170 and 1.12 levels.