Hello..
We have been looking at EURCAD for last 7-8 session and price has been trading in small range with resistance @ 1.5015 targeted multiple times but price has not been able to break below ,sometimes because of euro strength and sometimes because of cad weakness ,
We are again at same price level wondering if this time it will break below ??
As price has been broken ascending trendline and retested it moving higher and then again coming back inside descending trendline on daily chart suggests us further weakness in coming days..
If we check CAD against other currency pairs we see downward pressure building in both AUDCAD and GBPCAD too , which supports our view of CAD strengthing in near term.
So coming back to EURCAD , price has already closed below 50MA on daily and strong resistance cud be faced towards upside by 20/50/200 MA , whereas towards downside there is free fall of 100 pips which is only in hold by horizontal support , so we think its easier for pair to move down from here onwards rather than going up to challenge many more resistance .
Price may bounce little bit up from here towards ichimoku cloud in 4 hrs , we don't see price moving up and therefore enetering Short on current levels with Stoploss on daily close above 20 MA , TP 100 pips..
Lets see how this turns out..
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We have been looking at EURCAD for last 7-8 session and price has been trading in small range with resistance @ 1.5015 targeted multiple times but price has not been able to break below ,sometimes because of euro strength and sometimes because of cad weakness ,
We are again at same price level wondering if this time it will break below ??
As price has been broken ascending trendline and retested it moving higher and then again coming back inside descending trendline on daily chart suggests us further weakness in coming days..
If we check CAD against other currency pairs we see downward pressure building in both AUDCAD and GBPCAD too , which supports our view of CAD strengthing in near term.
So coming back to EURCAD , price has already closed below 50MA on daily and strong resistance cud be faced towards upside by 20/50/200 MA , whereas towards downside there is free fall of 100 pips which is only in hold by horizontal support , so we think its easier for pair to move down from here onwards rather than going up to challenge many more resistance .
Price may bounce little bit up from here towards ichimoku cloud in 4 hrs , we don't see price moving up and therefore enetering Short on current levels with Stoploss on daily close above 20 MA , TP 100 pips..
Lets see how this turns out..
Please follow us for more updates and ideas.