USD/CAD Technical analysis for August 27, 2010

Support Levels: 1.0450, 1.0380, 1.0244
Resistance Levels: 1.0680, 1.0858, 1.0990
On a 4-hour chart USD/CAD has recoiled from the resistance level of 1.0680 after a strong uprising movement. However, the short term attitude to the currency pair remains bullish. If the climb continues, in case of a successful break through 1.0680, the growth should be expected to 1.0858.
Besides, breaking through 1.0450 and EMA(55) will be a confirmation of a double high formation around a resistance level of 1.0680. After that if a decline continues, the puncture of the support level of 1.0380 will target the pair to 1.0244.In a mid term prospect USD/CAD is likely to have formed a low at 0.9930. Moreover, considering a bullish divergence on a daily and weekly MACD, the attitude to the pair is still bullish amid a reverse of a downfalling trend from the mark 1.3063. It is predicted that USD/CAD will move upwards to Fibonacci correctional level of 38.2 from 1.3063 to 0.9929 at 1.1126 with the next aim at Fibonacci correctional level of 61.8 at 1.1866.