FX.co ★ Technical analysis of CAD/USD for July 31, 2014

Overview:

• The USD/CAD pair is going to call for an uptrend market on July 31, 2014. The price will probably be moved between the level of 1.0885 and the 1.0950 level in order to form a range of 65 pips in the coming hours. However, risk to reward ratios are important and should always be calculated. So, a risk (65 pips) reward ratio of 1:1.5 is recommended which must make a profit of 98 pips. The support sets at the level of 1.0885 which represents a weekly pivot point. Therefore, the bulls are going to buy above 1.0885 with a first target of 1.0920, it might resume to 1.0950. It should be also noted that a double top is going to set at the price of 1.0959. For that, a stop loss should never exceed your maximum exposure amounts. Hence, set stop loss above 1.0985. On the other hand, the resistance is set at the spot of 1.0950 - 1.0960. So, the trend will call for a bearish market in this area because there is a minor bearish channel.

Intraday technical levels:

Date and Time:31/07/2014 11:40

Pair:USD/CAD

• R3: 1.0994
• R2: 1.0955
• R1: 1.0928
• PP: 1.0889
• S1: 1.0862
• S2: 1.0823
• S3: 1.0796