By Andria Pichidi - April 5, 2019
EURCAD, H4 and Daily
Currency market participants have for the most part been directionally unambitious ahead of the US employment report, which, as always, brings potential to upset the apple cart of global market sentiment.
In Europe the focus remains on Brexit discussions in London, as the EU prepares for a no-deal scenario, with the EU leaders as well as the ECB holding meetings on April 10, two days ahead of the current exit date, which still stands, even if MPs in London voted against a no-deal scenario.
So far today in the currency market, EURUSD has hunkered down in the lower 1.1200s into the US jobs report, consolidating a 3-week bear phase that left a 1-month low at 1.1183, which was seen on Tuesday. The EURGBP has driven to yesterday’s highs.
Across all majors, Euro has been a winner so far today, and significantly against Kiwi and Canadian Dollar, in contrast with the yearly view. The recent downside bias for WTI after a 5-month high has been a boon for EURCAD, as it added further pressure on the Loonie. The pair also found some ground following the weekly EIA oil inventory report.
EURCAD broke above its 1-week high early today, at 1.5024, while the intraday picture presents a strong positive configuration of the momentum indicators. The indicators in the 4-hour chart rebounded from the oversold terrain, suggesting a potential boost if the pair sustains this week’s gains. RSI is at 57 and MACD present an elimination of the negative momentum.
As EURCAD has moved back over the 50-period EMA and the 38.2% Fib. retracmenet level since March 25 to April 1 downleg, at 1.5020, the next resistance now comes at the 1.5040 (R2 from PP analysis). The Support is at the 20-period SMA and the 23.6% Fib. level, at 1.4975.
Overall, a close above 1.5020 today, would improve the sentiment and would spot the 50% Fibonacci retracement level, which is also the confluence of 200-period EMA at 1.5060-1.5065.
Andria Pichidi
Market Analyst
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
EURCAD, H4 and Daily
Currency market participants have for the most part been directionally unambitious ahead of the US employment report, which, as always, brings potential to upset the apple cart of global market sentiment.
In Europe the focus remains on Brexit discussions in London, as the EU prepares for a no-deal scenario, with the EU leaders as well as the ECB holding meetings on April 10, two days ahead of the current exit date, which still stands, even if MPs in London voted against a no-deal scenario.
So far today in the currency market, EURUSD has hunkered down in the lower 1.1200s into the US jobs report, consolidating a 3-week bear phase that left a 1-month low at 1.1183, which was seen on Tuesday. The EURGBP has driven to yesterday’s highs.
Across all majors, Euro has been a winner so far today, and significantly against Kiwi and Canadian Dollar, in contrast with the yearly view. The recent downside bias for WTI after a 5-month high has been a boon for EURCAD, as it added further pressure on the Loonie. The pair also found some ground following the weekly EIA oil inventory report.
EURCAD broke above its 1-week high early today, at 1.5024, while the intraday picture presents a strong positive configuration of the momentum indicators. The indicators in the 4-hour chart rebounded from the oversold terrain, suggesting a potential boost if the pair sustains this week’s gains. RSI is at 57 and MACD present an elimination of the negative momentum.
As EURCAD has moved back over the 50-period EMA and the 38.2% Fib. retracmenet level since March 25 to April 1 downleg, at 1.5020, the next resistance now comes at the 1.5040 (R2 from PP analysis). The Support is at the 20-period SMA and the 23.6% Fib. level, at 1.4975.
Overall, a close above 1.5020 today, would improve the sentiment and would spot the 50% Fibonacci retracement level, which is also the confluence of 200-period EMA at 1.5060-1.5065.
Andria Pichidi
Market Analyst
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.