27 Apr 2015
EUR/CAD: Bears enthused on test of key levels
FXStreet (Guatemala) - EUR/CAD is trading at 1.3157 with a high of 1.3255 and a low of 1.3131.
EUR/CAD is weak on the Loonie's strength as it test the support in funds currently at 1.2080 and break out will be a break of the recent range and could be significant in an extension of the downtrend vs late 2014 uptrend. This week brings both German CPI's and Canadian GDP while the pivotal point is likely to be the FOMC statement post Q1 GDP.
Analysts at TD Securities noted that the broader bear trend persists and remains well-entrenched on the longer-term charts; "We rather think scope for EUR gains is limited at the moment. We look for strong resistance to EUR rebounds between 1.3400/50 and rather think that levels nearer 1.33 should cap near-term gains." The analysts still favour the downside here overall "Price signals suggest a pause in the trend certainly but there is no strong evidence of a reversal at this point. Look to fade EUR rallies."
EUR/CAD is weak on the Loonie's strength as it test the support in funds currently at 1.2080 and break out will be a break of the recent range and could be significant in an extension of the downtrend vs late 2014 uptrend. This week brings both German CPI's and Canadian GDP while the pivotal point is likely to be the FOMC statement post Q1 GDP.
Analysts at TD Securities noted that the broader bear trend persists and remains well-entrenched on the longer-term charts; "We rather think scope for EUR gains is limited at the moment. We look for strong resistance to EUR rebounds between 1.3400/50 and rather think that levels nearer 1.33 should cap near-term gains." The analysts still favour the downside here overall "Price signals suggest a pause in the trend certainly but there is no strong evidence of a reversal at this point. Look to fade EUR rallies."