We have a clear support area around .99316 on the H4 chart and if we switchDaily charts this level is also daily support. We have another support around .98133 on the Daily charts as well. Going back to the H4 chart we have potential break out of Bollinger band which could lead us to the Daily support. Now focusing on the H1 chart we could be experiencing the 4th wave and will look for the 5th wave to continue. It could easily retrace to .9966 to .9974 before making the move down. Now somewherearound .9930 is where we could get our continuing divergence on both MACD and stochasticindicators and it is at this area(.9930) I want to see a clear stop that is I want to see a Bullish candle pattern ie. Hammer, Engulfing, Harami before we take this trade. This trade will be managed by H1 chart. Please wait for candlepattern because on remember on the Daily chart this area (.9930) could easily be broken and go to thenext support area (.9813). So please look for a clear stop. Target number 1 20MA target 2open.
USDCAD trade setup for February 15, 2012
USD/CAD Pivot Points (Time Frame: 1 Day)
Name S3 S2 S1 Pivot R1 R2 R3