The Bank of Canada announced today that it has decided not to change the interest rate and keep it at 0.50 and investors interpreted that as a good sign, which made all Canadian Dollar pairs start moving in favour of the Canadian currency.
When the news was announced USD/CAD fell with over 70 pips, which confirmed the trend reversal I have been expecting since yesterday.
EUR/CAD also fell with 90 pips and continues falling. I think the pair will keep moving to the downside, towards 1.4100 - 1.4050, which is a strong support level visible on the weekly time frame.
It is too early to say whether the pair will break below that level, because the monthly time frame is indicating a move to the upside, rather than to the downside. We will have to watch EUR/CAD carefully when it reaches that level.
Thank you for the detailed review.
ReplyDeleteThank you for the analysis, very helpful!
ReplyDeleteGood insight.
ReplyDeleteGood post!
ReplyDeleteLooks like it will keep pushing lower.
ReplyDeleteExcellent Analysis! Thanks.
ReplyDeleteDownside seems continue.
ReplyDeleteInformative read.
ReplyDeleteLet’s see how it keeps going.
ReplyDelete