Forex Analysis: 20 Apr 2012, 12:01 UTC+00
USD/CAD Intraday Technical Analysis and Trading Recommendations for April 20, 2012

Show full picture

Show full picture


The daily closure below the recent bottoms located around 1.5540-1.5560 rendered the previous consolidation range as a bearish flag pattern with the projection target at 1.5300.

The market has already pushed further below reaching down to 1.5030-1.4980 where the lower limit of the channel has been providing support for the pair over the past few weeks.

Recently, H4 chart showed a transition phase into a sideway movement that has been maintained within the depicted price range.

A bearish engulfing daily candlestick was expressed at retesting of the upper limit of the daily channel on Friday. Hence, the GBP/USD pair went back to retesting the newly-established DAILY SUPPORT around 1.5170-1.5200, which allowed bulls to establish a new ascending bottom (a sign of ongoing bullish momentum).

The persistence of the GBP/USD pair above the recent DAILY support (the price zone of 1.5170-1.5200) applied extensive bullish pressure over the price level of 1.5360 (61.8% Fibonacci level).

This led to an obvious daily breakout above 1.5300 that took place yesterday.

Trading recommendations:

A valid BUY entry could have been taken upon the yesterday's DAILY closure (above 1.5360). SL should be placed slightly below the recent bottom around 1.5200.

As long as bulls keep defending the recent SUPPORT around 1.5350, they should keep targeting at 1.5460 and 1.5580.

Performed by
analytical expert: Mohamed Samy
InstaForex Group © 2007-2016
 Published: 20 Apr 2012, 12:01 UTC+00

Recommend: Forex Analytics
EUR/NZD analysis for February 12, 2016
12 Feb 2016, 17:13 UTC+00   
Views today 1775
Technical analysis of EUR/USD for February 12, 2016
12 Feb 2016, 07:23 UTC+00   
Views today 1232
Daily analysis of major pairs for February 12, 2016
12 Feb 2016, 12:24 UTC+00   
Views today 1018
Intraday technical levels and trading recommendations for EUR/USD for February...
12 Feb 2016, 13:51 UTC+00   
Views today 676
USDX technical analysis for February 12, 2016
12 Feb 2016, 13:36 UTC+00   
Views today 713