Forget wave counts, oscillators, or moving averages for a moment and focus on the most important of concepts when considering whether or not to buy the USDCAD - SUPPORT. Throughout August and September 2008, resistance was strong near 1.0800 (this was also resistance is August 2007). After dipping below 1.0650 in early August, the USDCAD is back above 1.0800. What was a former congestion zone and resistance is now a congestion zone and support. The market has determined that these levels are important - we should do the same.
