USD/CAD H1, H4 Analysis for September 9, 2013
General overview for 09/09/2013 09:00 CET
A highy anticipated wave C to the downside finally materialized and the price has taken out the levels of 1.0470 and 1.0400, stopping at 61% Fibo 1.0385.
The impulsive bullish count has been invalidated due to wave 1-4 overlapse.
Because of larger time frame cycles all moves are in three waves, an impulsive decline to the upside has been postponed and now we are counting an unfinished ABCDE Triangle Wave X brown.
When this new Triangle count is completed, then bullish impulsive break out should happen.
Only a break out below 1.0244 would invalidate a new count.
In lower time frames the price is in wave (iv) of the corrective cycle that might be in simple abc or more complex abcde triangle pattern.
A breakout of 1.0418 would expose Weekly Pivot to be tested.
A breakout of 1.0379 would expose the lower trendline to be tested.
1.0470 – Technical Resistance | Key Level for Bears |
1.0450 – 1.0460 – Intraday Supply
1.0435 – Weekly Pivot
1.0418 – Intraday Resistance
1.0379 – Swing Low
Trading in a triangle is possible only with the breakouts, so this is a strategy for intraday scalping:
- an upside break out of 1.0418 is bullish and 1.0435 or 1.0450 should be next resistance levels
- a downside break out of 1.0379 is bearish and 1.0350 should be next support level
The material has been provided by InstaForex Company – www.instaforex.com